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Can Independent Contractors Receive Coverage under PA Workers' Comp Law? Independent contractors are not eligible for workers' compensation under the Pennsylvania Workers' Compensation Act.
Below, we've listed the most important hoops you'll need to jump through to make your entry into self-employment official. Let HMRC know you're self employed. ... Decide on a business structure. ... Set up a business bank account. ... Begin bookkeeping. ... Alert your landlord or mortgage lender. ... Get self-employed business insurance.
Independent contractors are not eligible for workers' compensation under the Pennsylvania Workers' Compensation Act. However, just because your employer may characterize you as an independent contractor, that does not mean you are an independent contractor instead of an employee under workers' compensation law.
A person is self-employed if they run their business for themselves and take responsibility for its success or failure. Self-employed workers are not paid through PAYE, and they do not have the rights and responsibilities of an employee.
Important note: Workers under your direct control may be considered your employees for workers' compensation purposes, regardless of their tax status. You may need insurance even for those receiving 1099s. Who does not need insurance? Sole proprietors with no employees.