Section 12-501 - Insurance.

§ 12-501. Insurance.
 

(a)  In general.- A master plumber or holder of a limited master plumber license may not contract to provide plumbing services on behalf of the master plumber, holder of a limited master plumber license, or another person who engages in the business of providing plumbing services unless the plumbing work of the master plumber or holder of a limited master plumber license is covered by liability insurance, including completed operations: 

(1) for bodily injury in the amount of at least $300,000; and 

(2) for property damage in the amount of at least $100,000. 

(b)  Buyers.-  

(1) The insurance required under this section may be bought: 

(i) by a master plumber or holder of a limited master plumber license; or 

(ii) for a master plumber or holder of a limited master plumber license, by the person who engages in the business of providing plumbing services and employs the master plumber or holder of a limited master plumber license. 

(2) The insurance requirement of this section is not met for work that a master plumber or holder of a limited master plumber license does outside the scope of employment for the person who carries the insurance. 

(c)  Others.- An apprentice plumber, journey plumber, or holder of a limited journey plumber license need not obtain separate insurance while providing or assisting in providing plumbing services within the scope of the license. 

(d)  Requirements on application for license.-  

(1) An applicant for a master plumber license or limited master plumber license shall submit proof of the insurance required under this section to the Board with the license application. 

(2) The Board may not issue a master plumber license or limited master plumber license to an applicant to whom the insurance requirements of this section would apply unless the applicant submits proof of the insurance. 

(e)  Requirements on renewal of license.- Unless an applicant meets the insurance requirements of this section, the Board may not renew the master plumber license or limited master plumber license of the applicant to whom the insurance requirements of this section would apply. 

(f)  Notice to Board of cancellation.- A master plumber or holder of a limited master plumber license shall give the Board notice of the cancellation of insurance at least 10 days before the effective date of the cancellation. 

(g)  Surety bonds.- If a county, municipal corporation, special taxing district, or other political subdivision requires a master plumber, holder of a limited master plumber license, or other person who engages in the business of providing plumbing services to execute a surety bond under local plumbing requirements, the person may satisfy the bond requirement by submitting proof of the insurance required under this section. 

(h)  Required license clause.- The Board shall specify on the master plumber license or limited master plumber license whether the master plumber or holder of the limited master plumber license meets the insurance requirements of this section. 
 

[An. Code 1957, art. 56A, § 3-501; 1989, ch. 3, § 1; ch. 236, § 1; ch. 826, §§ 1, 2; 2000, ch. 555.]