consumerbriefWhat You Should Know…

Hiring a HomeElevation Contractor✓

As New Jersey continues its post-Superstorm Sandy recovery and preparesto protect against future incidents offlooding, many consumers will seek tohire State-registered home elevationcontractors.REQUIREMENTS UNDER NEW JERSEY LAW

New Jersey’s home elevation contractors statute (N.J.S.A.56:1-138.2 et seq.) defines home elevation as raisingan entire residential or noncommercial structure to ahigher level above the ground. Contractors who offerhome elevation services must, among other things:

■ Have a named person in an ownership,employee, or consultant position who has aminimum of five years of experience in homeelevation; and

■ Maintain $500,000 per occurrence of commercialgeneral liability insurance required of all homeimprovement contractors, as well as a minimum of$1 million per occurrence of cargo or other insurancethat specifically covers damages or losses to the home-owner, lessee, tenant or other party resulting fromhome elevation activities; and

■ Apply to the Division of Consumer Affairs forregistration as a home elevation contractor, andreceive from the Division a home elevationcontractor registration number beginning“13HE”; and

■ Provide the Division of Consumer Affairs withspecific information about the company’s streetaddress, ownership, business type, and other in-formation.

Revised 10/16/14

Continued

As of October 1, 2014, no person or business may solicitor perform home elevation work, without being registeredas a home elevation contractor by the Division ofConsumer Affairs and meeting the other requirementsspecified above.

However, if a New Jersey-registered home improvementcontractor has entered into a contract with a consumer toperform home elevation services before October 1, 2014,the contractor will not be required to register with theDivision as a home elevation contractor for the purposeof completing the contracted project – as long as thecontractor maintains written proof that the consumer hasbeen apprised of the requirements of the law, and that theconsumer has knowingly elected to proceed under theterms of the contract. The contractor also shouldimmediately contact the Division of Consumer Affairs toseek registration as a home elevation contractor.

Consumers and contractors can find additional informa-tion about New Jersey’s requirements for home elevationcontractors at www.NJConsumerAffairs.gov/HIC/HomeElevation.htm. Consumers and contractors shouldcheck this website regularly for any updates to the require-ments, especially before entering into a new contract.

ADVICE FOR CONSUMERS

When seeking to hire a home elevation contractor,consumers should:

■ Review the full list of New Jersey’s require-ments for home elevation contractors atwww.NJConsumerAf fa i r s .gov/HIC/HomeElevation.htm. Consumers should checkthis website regularly for any updates to therequirements, especially before entering into anew contract.

■ Contact the Division of Consumer Affairs at888-656-6225 or 800-242-5846 to learnwhether the contractor is registered to performhome elevation services, and to learn whetherthe company has been the subject of consumercomplaints.

■ Obtain a copy of the contractor’s insurancepolicies, and contact the insurer to verify thatthe policies are still valid. The contractor musthave $500,000 per occurrence of generalliability insurance and $1 million per occurrenceof cargo or other insurance to cover damagesresulting from home elevation activities.

■ Contact your own insurance provider to learnabout any limits or conditions that may exist in

your homeowner’s insurance policy with regardto home elevation.

■ Ask for the names and contact information ofreferences for whom the contractor has per-formed home elevation projects in the past.Contact those references to learn about theirexperience.

■ Ask for details about the company’s experiencewith home elevation projects. Learn whether thecompany has the necessary equipment to per-form a home elevation, or whether it will needto rent or otherwise obtain the equipment.

■ Make a site visit to see the company’s workingoperations. If possible, visit the site of one of itspast or current home elevation projects.

■ Demand a detailed contract that specifies theproject’s scope, specific time frame, total cost,and other information. Under New Jersey law,contractors must provide a detailed, writtencontract for every home improvement project– including home elevation services – costingmore than $500.

■ Review and follow the Division of ConsumerAffairs’ advice for hiring a home improvementcontractor, which can be found atwww.NJConsumerAffa irs .gov/brie f /improve.pdf.

973-504-6200 o 800-242-5846 (toll free within New Jersey)

website: www.NJConsumerAffairs.gov

DIVISION OF CONSUMER AFFAIRS