Subcontractors For Workers Comp Audit
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FAQ
Exemptions include: people covered under other workers' compensation acts, such as railroad workers, longshoremen and federal employees; domestic servants (coverage is optional); agricultural workers who work fewer than 30 days or earn less than $1,200 in a calendar year from one employer; and employees who have
Subcontractors are business entities independent of your company or organization; they are not your employees. Because of this, you do not need to carry workers' compensation insurance for subcontractors.
Generally, workers' compensation insurance coverage is mandatory for all employers who have one or more employees, whether they're part-time or full-time, including family members. Coverage ensures medical and wage-loss benefits to employees who are injured during the course of their job.
No, in most cases, independent contractors working for your business do not require workers' compensation insurance.
Workers' Compensation (WC) is mandatory, employer-financed, no-fault insurance which ensures that employees disabled due to a work-related injury or disease will be compensated for lost wages and provides necessary medical treatment to return them to the workforce.
