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Homeowners may have skipped getting permits due to the cost or issues with the city codes, or because it can cause delays. Permits are considered to be safeguards for homeowners.When your contractor does not pull permits necessary for construction remodel or renovation you face possible penalties and code non-compliance issues. Without a permit you won't have three inspectors at two or three stages looking for faults. When plumbing and electrical work is involved, you are supposed to have a licensed contractor complete the work. Construction work done without the required permits violates State Building Code and is considered illegally constructed work. A valid permit, in turn, keeps the insurance valid.