Maryland Home Improvement Contractor (MHIC)

Maryland Home Improvement Contractor (MHIC) License Exam: Complete 2026 Study Guide

Picture this: a homeowner calls you for a kitchen remodel, you do excellent work, and then you find out you can't legally collect payment because your license lapsed. That's not a hypothetical — it's the kind of costly mistake that trips up contractors every year in Maryland. The MHIC license is your legal right to operate, and the exam standing between you and that license is more focused on Maryland law than most contractors expect. This guide breaks down exactly what's on the test, what questions look like, and how to prepare efficiently so you pass on the first try.

MHIC Exam Overview for 2026

The Maryland Home Improvement Contractor exam is administered by PSI and consists of 55 scored questions completed in 150 minutes. To pass, you need to answer at least 39 questions correctly — that's a 70% passing score.

The time limit is generous. At roughly 2.7 minutes per question, you won't be racing the clock. That means you can read carefully, which matters on a law-heavy exam where small details (a specific dollar threshold, a deadline in days, an exemption) determine the right answer.

Before you sit for the exam, you'll need to register through the exam registration page. You can also review the official exam bulletin for current testing policies, ID requirements, and scheduling details. For licensing requirements and application materials, the state licensing website is your primary resource.

What the MHIC Exam Covers

The exam spans five topic areas. Here's how they're weighted — and where your study time should go.

Home Improvement Law (41 of 55 questions)

This is the exam. With 41 out of 55 questions drawn from this single topic, Maryland Home Improvement Law is not something you can skim. Expect questions on:

• What qualifies as a "home improvement" under Maryland law (and what's specifically excluded)
• How the Maryland Home Improvement Commission is structured and what authority it holds
• Licensing requirements, application steps, exemptions, and what happens if you operate without a license
• The Home Improvement Guaranty Fund — who's eligible to file a claim, how claims are processed, and payment limits
• Required contract elements: what must appear in every home improvement contract you sign

Master this section and you've essentially passed the exam.

Door-to-Door Sales Act (4 questions)

Four questions cover Maryland's Door-to-Door Sales Act. Key areas include a buyer's cancellation rights (including extended rights for buyers 65 and older), what the Notice of Cancellation form must contain, what you must disclose at the initial contact, and what you're required to do — including refunding deposits — when a customer cancels.

Labor Laws (3 questions)

Three questions test federal labor basics: FLSA minimum wage and overtime rules, child labor restrictions (especially hazardous tasks), Form I-9 employment eligibility verification, ADA employer obligations, and Maryland workers' compensation requirements. Don't ignore this section — three questions can be the difference between passing and retaking.

Safety Regulations (4 questions)

Four questions cover OSHA standards for construction. Know the specific CFR citations (29 CFR 1926, 1910, and 1904), OSHA recordkeeping forms (300, 300A, and 301), penalty categories, Safety Data Sheets, and personal protective equipment requirements.

Estimating (3 questions)

Three questions address the basics of bidding and estimating: bid document requirements, ethical issues like bid shopping and bid rigging, how to structure a project estimate, quantity take-off methods, and how to calculate labor costs including burden.

Sample MHIC Exam Questions

Here's a look at the types of questions you'll face. Can you figure out the right answers before checking?

Question 1 — Home Improvement Law (Easy)

You are a licensed contractor and your license is about to expire. At least how far in advance of the expiration date must the Commission mail you a renewal application form and notice?

• A) 2 weeks
• B) 3 months
• C) 2 months
• D) 1 month

Question 2 — Labor Laws (Medium)

You hire a 19-year-old worker for your contracting business. Under federal law, what is the minimum wage you may pay this worker during the first 90 consecutive calendar days of employment?

• A) $4.25 per hour
• B) $6.55 per hour
• C) $7.25 per hour
• D) $5.15 per hour

Question 3 — Home Improvement Law (Medium)

A shore erosion control project is being performed at a residential property along the Chesapeake Bay. Under Maryland Home Improvement Law, how is this work classified?

• A) It is included in the definition of home improvement
• B) It is regulated solely by the Department of Natural Resources, not the Home Improvement Commission
• C) It is classified as new construction and therefore excluded from home improvement
• D) It is excluded from the definition of home improvement because it involves land rather than a building

Question 4 — Safety Regulations (Easy)

A contractor is assessing the personal protective equipment needed for a construction jobsite. Which of the following is NOT typically listed among required safety equipment for construction workers?

• A) Fire-resistant desk furniture
• B) Protective eyewear and gloves
• C) Hard hats and safety shoes/boots
• D) Respirators and hearing protection

Question 5 — Safety Regulations (Easy)

Which of the following sets of federal standards applies to the construction industry?

• A) 29 CFR 1904, 29 CFR 1915, and 29 CFR 1928
• B) 29 CFR 1926, 29 CFR 1910, and 29 CFR 1904
• C) 29 CFR 1910, 29 CFR 1903, and 29 CFR 1928
• D) 29 CFR 1926, 29 CFR 1915, and 29 CFR 1903

Not sure about your answers? Take our free practice exam to test your knowledge — no account required.

What Types of Questions to Expect by Topic

Understanding the style of questions is just as important as knowing the content. Here's what you're actually being asked to do in each topic area — along with how many practice questions we offer to help you prepare.

Home Improvement Law (160 practice questions): This is where the exam lives. Questions test whether you can apply specific Maryland statutes to real scenarios — identifying what counts as a covered home improvement, determining whether a contractor needs a license for a given job, interpreting Guaranty Fund claim eligibility and payout rules, and spotting missing elements in a home improvement contract. Expect fact-pattern questions where small details matter.

Door-to-Door Sales Act (15 practice questions): Questions here ask you to apply the Act's rules to specific situations — calculating cancellation windows, identifying what must appear in a Notice of Cancellation form, and determining what a contractor owes a customer who cancels, including refund timing.

Labor Laws (15 practice questions): These questions test whether you can correctly apply federal wage rates, identify prohibited tasks for minor employees, recognize proper I-9 procedures, and understand when ADA accommodation obligations apply. One wrong assumption about a wage rate or age threshold can flip your answer.

Safety Regulations (20 practice questions): Questions ask you to match specific OSHA standards to situations, identify which recordkeeping form applies, classify penalty types, and recognize proper PPE and hazard communication practices. Knowing the CFR citations cold gives you a real edge here.

Estimating (15 practice questions): Expect scenario-based questions on ethical bidding conduct (what constitutes bid shopping versus bid rigging), what belongs in a bid package, and how to apply quantity take-off or labor burden calculations to a project scenario.

In total, we offer 225 practice questions across all five topic areas.

Study Tips for the MHIC Exam

Start with the law — and stay there longest. With 41 of 55 questions coming from Home Improvement Law, this is not a balanced exam. Read the Maryland Home Improvement Law statute carefully. Know the definitions section. Understand the Guaranty Fund inside and out, because those questions require precise knowledge of dollar limits, claim procedures, and eligibility rules.

Learn the contract requirements cold. Missing contract elements are a favorite exam topic. Know exactly what must appear in every home improvement contract — price, start/completion dates, description of work, right of rescission language — and be able to spot what's missing.

Don't skip the small topics. Three Labor Law questions, three Estimating questions — these are free points if you've prepared, and painful losses if you haven't. Study them last, but study them.

Use the time you have. With 150 minutes for 55 questions, you can spend nearly three minutes on each one. Flag questions you're unsure about, finish the exam, then return to them.

Practice with real exam-style questions. Reading is passive. Testing yourself forces recall and reveals exactly which topics need more work.

Frequently Asked Questions

How many questions are on the MHIC exam?
The exam has 55 scored questions. You have 150 minutes to complete it.

What is the passing score for the MHIC exam?
You need to answer 39 of the 55 questions correctly — a 70% score — to pass.

What topics are on the MHIC exam?
The exam covers Maryland Home Improvement Law (by far the largest section), the Door-to-Door Sales Act, Labor Laws, Safety Regulations, and Estimating.

How do I register for the MHIC exam?
You can register through the exam registration page. Review the official exam bulletin for current scheduling and ID requirements before you book.

Can I retake the exam if I fail?
Yes. Maryland allows retakes, though you'll need to reschedule and pay the exam fee again. Check the state licensing website for current retake policies.

How hard is the MHIC exam?
Candidates who underestimate the legal depth of the exam tend to struggle. It's not a general contractor knowledge test — it's a Maryland-specific law exam with some labor, safety, and estimating questions mixed in. Focused preparation on the statute and commission rules makes a significant difference.

Ready to Start Preparing?

The MHIC exam is very passable — 70% is the bar, and 74% of its questions come from a single topic you can master through focused study. The key is preparation that mirrors the real exam.

Start with our free practice exam to get a feel for the question style and difficulty. No account needed, and you can retake it as many times as you like. When you're ready to get serious, upgrade to the full practice exam — it matches the real exam's format, question count, and topic breakdown exactly, with a detailed score report showing where you stand in each area. Every attempt draws from a large question pool, so you won't see the same exam twice.

You've put in the work to build your contracting skills. Now put in the prep work to make it official.