How do I protect myself when hiring a contractor?

Protecting yourself when hiring a contractor in Ottawa requires verifying licenses, checking insurance, and following proper contract procedures before any work begins.

Start with license verification through official channels. For electrical work, confirm your contractor has a valid Licensed Electrical Contractor (LEC) designation through the ESA at esasafe.com/contractor-locator. For gas and HVAC work, verify TSSA certification at tssa.org. General contractors should be registered for HST if doing work over $30,000 annually - you can verify this through the Canada Revenue Agency.

Always demand proof of WSIB coverage and liability insurance before signing anything. Request a WSIB Clearance Certificate directly from wsib.ca/clearances - never accept a photocopy as these can be easily faked. Liability insurance should be minimum $2 million, and you can call the insurance company directly to verify coverage is current. Without proper insurance, you could be liable for workplace injuries on your property.

Get everything in writing with detailed contracts that specify materials, timelines, and payment schedules. In Ontario, never pay large amounts upfront - the Construction Lien Act allows contractors to place liens on your property for unpaid work, but also protects you by requiring a 10% holdback for 60 days after substantial completion. A legitimate contractor won't pressure you for full payment before work is done.

For projects requiring permits in Ottawa, ensure your contractor pulls the proper permits through the City of Ottawa Building Code Services (613-580-2424). You can verify permits online at ottawa.ca/building. If a contractor suggests skipping permits to save money, that's a major red flag that could leave you with code violations and insurance issues.

Watch for common scam warning signs: door-to-door solicitation, demands for full payment upfront, no fixed business address, pressure to sign immediately, or quotes significantly below others. Legitimate Ottawa contractors are busy and don't need to chase work door-to-door.

Check references from recent local projects, ideally in your Ottawa neighborhood (Kanata, Orleans, Barrhaven, etc.). Drive by completed projects if possible, and call previous customers directly. Online reviews help, but personal references from actual work sites are more reliable.

Understand your consumer protection rights under Ontario's Consumer Protection Act. For contracts over $50, you have a 10-day cooling-off period for door-to-door sales. For home improvement contracts, you can cancel within one year if the contractor lacks proper licensing.

Before making final payment, ensure all permits receive final inspection approval from the City of Ottawa and any required ESA or TSSA inspections are complete. Keep your 10% holdback for the full 60-day period - this protects you from liens and ensures any deficiencies are addressed.

For additional consumer protection resources, contact Ontario's consumer protection office at ontario.ca/consumer or call ServiceOntario at 1-800-889-9768. Taking these verification steps upfront prevents most contractor problems and protects your investment in your Ottawa home.