Contracting for home improvements and storm repairs can pose many
difficult problems if you are not careful. The information contained in
this article can help you make smart choices and help you avoid being
victimized by an unlicensed contractor. Generally, a contractor’s
license is required for any structural additions, roofing, air
conditioning, plumbing, electrical/alarm work, pool/spa work or any job
which requires a building permit. In addition, many local jurisdictions
have additional licensure requirements for other specialty contractors.
Any doubts should be resolved by contacting your local building
department.
Beware of Construction Con Artists, Who May:
Target the elderly, uninformed or the young and inexperienced.
Focus on roofing and remodeling.
Solicit door-to-door, claiming to have "just finished a job down
the street."
Arrive in unmarked vans or trucks, possibly from out-of-state.
Use a post office box address with no street address.
Promise to use your home as a "demonstration model" at a bargain
price.
Offer to work for you, only if you obtain the necessary
building permits, which makes you responsible for the work done.
Ask for all the money up front.
Become injured on your property and sue you for damages.
Find a Reputable and Reliable Contractor:
Ask to see the contractor’s registered or certified license. All
state-generated licenses include a wallet card. Verify that the license
you are shown confirms the person’s identity. Ask to see additional
identification.
Note the license number and check with the Department of Business
and Professional
Regulation or local building officials to verify that the license is
current and active.
Determine how long the contractor has been in business. You may
want to check with local building material suppliers.
Ask for references of persons for whom the contractor has done
work and CHECK THEM OUT.
Before Signing the Contract, You Should:
Read it carefully.
Fill in all the spaces.
Consult your insurance agent to determine if the repairs are
covered by your policy and verify the proper procedure you must follow
to ensure payment of a claim.
Have an attorney review the contract before you sign. Take every
reasonable precaution to protect your interests.
Be Sure Your Contract Includes:
Contractor’s name, address, telephone number and professional
license number.
Detailed description of work to be completed and the quality and
type of materials to be supplied.
A complete list of companies or individuals supplying the
contractor with labor or materials.
The total cost and a payment schedule tied to the completion of
various stages of the project.
Any financing information that is required by law or that is part
of the transaction.
Any warranty agreements.
A commencement and completion date.
All necessary building permits or fees will be the responsibility
of the contractor.
An agreement regarding site cleanup and debris disposal.
A notice of the consumer’s rights under the Construction Industry
Recovery Fund.
Canceling a Contract
Some home improvement or repair contracts may be cancelled without
penalty or obligation by midnight of the third business day after
signing. These contracts include:
Agreements signed anywhere other than the seller’s normal place of
business, unless you have requested the specific goods or services.
Agreements resulting from door-to-door sales solicitation.
Agreements that will pay on an installment basis for more than 90
days.
It is important to note that emergency home repairs, made at the
owner’s request, are not subject to cancellation under the three-day
rule. To protect yourself, consult an attorney.
Some Final Advice
Avoid any contractor who requires a large advance payment. Agree
to pay after the work is completed or by regular progress payments.
Do not sign any type of completion certificate until all work is
completed to your satisfaction.
Do not pay in cash.
If your contract exceeds $2,500, become familiar with the Florida
Construction Lien Law. A notarized release of lien will help ensure that
you will not have to face double payments or possible loss of your
property to unpaid workers or material suppliers. For complete
information, download a brochure at
Brown & Brown Insurance Agency
has recently made the following articles available to us. They contain useful information
about insuring your condominium.
All
portions of the condominium property for which the declaration of the condominium requires
coverage by the association.
The word "building" does not include the following, thus the master policy
will not cover these items, even if located inside a unit:
Floor, wall, and ceiling coverings
Electrical fixtures
Appliances
Air conditioning or heating equipment
Water heaters
Water filters
Built in cabinets and counter tops
Window treatments, including curtains, drapes, blinds, and hardware
Replacements for any of the above listed property
Air conditioning compressors that serve only one unit no matter where located
Associations may amend their declaration without regard to mortgagee approval of the
amendments affecting insurance requirements.
Unit owners should continue to insure interior additions and upgrades which are not of
like kind of quality to the original interior building items.
Any policy issued or renewed to a unit owner on or after January 1, 2004 shall provide
that coverage is excess over any other policy covering the same property.
Unit owner policies shall be without rights of subrogation against the condominium
association.
The individual unit owner shall insure real or personal property within the unit that
is excluded from the association policy.
The association must maintain e-mail addresses of unit owners who consent to receive
notices in that manner if the association elects to send notices in that manner.
The most significant aspect of this statute change is that certain items of building
property are not clearly the insurance responsibility of the unit owner and are not
covered by the association policy. Some unit owners who carry a low limit of building
coverage on their unit owner policy will likely need to increase that coverage to be
adequately protected. There is nothing that prohibits an association from mandating that
unit owners insure more than what the statutes dictate. It’s not uncommon for
associations to require unit owners to insure items such as front doors and screened rooms
and this can continue under the revised statutes.
The January 1, 2004 date is significant because the old statute referred to a 1986 date
and a 1992 date. Depending on the dates of the condominium declarations (bylaws) it was
possible that the master policy would cover items such as the floor coverings, electrical
fixtures, appliances, and water heaters to name a few. With the statutory change those
1986 and 1992 dates are eliminated and there is one "common playing field" when
it comes to what the master policy will not cover. It’s now safe to say that all of
the 20,000 or so condominium associations in the state all fall under the new law and the
"property not covered list" is the same for all associations. Again though,
individual associations can (and likely do) have bylaws which mandate that the unit owner
is responsible for the property listed above plus more. That’s why it’s critical
that someone (unit owner) read the bylaws and see what the unit owner responsibility is.
What this means for the unit owner is that increased coverage may be required under the
unit owner policy. When advised of the fact it’s likely that the first call will be
to the insurance agency with the questions of, "How much coverage should I
carry?" That answer is the same today as it was when the first condominium policy was
written decades ago, "Whatever limit you think is appropriate." The
agency should not select a limit of insurance. Only after reading the statute and the
condominium declarations can a unit owner know what his insurance responsibility is. The
amount of coverage should be based on:
The property not covered by the master policy shown above
Any property which the association bylaws require the unit owners to insure
Additional and alternations inside the unit which are not of like kind and quality when
compared to the original installed property.
With the new statute it’s important for agency staff to understand the scope of
the change. Existing unit owners and associations may need to be contacted to make any
needed adjustment to policies. Condominium coverage can be confusing and it’s
important the proper coverage be in place.
You can learn more about insuring your condominium by clicking the link
below:
