What is the difference between a licensed and unlicensed contractor?

In Ontario, the difference between licensed and unlicensed contractors depends on the trade - some require mandatory licensing while others operate under general business regulations, but all legitimate contractors in Ottawa must carry WSIB and liability insurance.

Trades Requiring Mandatory Licensing in Ontario

Electrical contractors must hold a Licensed Electrical Contractor (LEC) designation from the Electrical Safety Authority (ESA). You can verify this at esasafe.com/contractor-locator. Only LECs can pull electrical permits in Ottawa, and all electrical work requires ESA inspection regardless of who does it.

Gas technicians need TSSA certification (G1, G2, or G3 levels) for any natural gas work. Check their credentials at tssa.org. This includes furnace installation, gas line work, and appliance connections.

Plumbers working on new construction or major renovations often need Ontario College of Trades certification, though this varies by municipality and project scope.

General Contractors and Other Trades

Most other construction trades in Ottawa - including general contractors, roofers, flooring installers, painters, and renovation contractors - don't require specific trade licenses. However, legitimate contractors still must meet several legal requirements.

What ALL Legitimate Contractors Must Have

Every contractor working in Ottawa should provide proof of:

WSIB Coverage - Workers' compensation insurance protects you if someone gets injured on your property. Verify clearance certificates at wsib.ca/clearances. This is legally required for most commercial work and strongly recommended for residential.

Liability Insurance - Minimum $2 million coverage protects against property damage. Ask to see the certificate and verify it's current.

Business Registration - Legitimate contractors register their business name and carry proper business licenses.

Red Flags of Unlicensed or Illegitimate Contractors

Be wary of contractors who can't provide WSIB clearance, refuse to get permits for work that requires them, demand full payment upfront, or show up at your door offering leftover materials. Cash-only deals and high-pressure sales tactics are major warning signs.

For electrical work specifically, if someone offers to do electrical work without mentioning ESA permits and inspections, they're operating illegally and could create serious safety hazards.

Permit Requirements in Ottawa

Regardless of licensing, most renovation work in Ottawa requires building permits. Contact City of Ottawa Building Code Services at 613-580-2424 or check ottawa.ca/building to determine what permits your project needs. Licensed contractors should handle permit applications for their trade, while general contractors typically coordinate building permits.

The bottom line: verify credentials, insurance, and permit compliance for any contractor you hire in Ottawa, regardless of whether their specific trade requires formal licensing.