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Corporation: Includes coverage for Executive officers of the corporation. Officer payrolls are capped at $62,400 for premium rating. Officers owning 25% or more of the business can choose to be excluded from coverage.
The main downside to such a claim is that you typically get paid less than you would if you were able to take the case to trial. However, under Texas law, an employee has the right to opt out of workers' compensation coverage.
In most cases, as a single-member limited liability corporation (LLC), you may not be required by your state to have workers' compensation coverage. However, you might choose to obtain coverage once you see what workers' compensation insurance can do to protect your assets.
Do I have to have workers' compensation insurance? Texas doesn't require most private employers to have workers' compensation. But private employers who contract with government entities must provide workers' compensation coverage for the employees working on the project.
Texas is the only state which does not require coverage. However, there are exclusions to this rule for some employers listed below: Any public employer including cities, counties, state agencies and state universities. Building and construction contractors for public employers.
Texas doesn't require most private employers to have workers' compensation. But private employers who contract with government entities must provide workers' compensation coverage for the employees working on the project.
Texas' State Workers' Compensation Benefits State minimum limits for workers' compensation are pretty universal. Workers' compensation state minimum limits: $100,000 per occurrence for bodily injury: This coverage is for any one employee. $100,000 per employee for bodily disease: This coverage is for any one employee.
Do sole proprietors need workers' compensation? Though it's not required by law, sole proprietors, independent contractors, and other self-employed individuals may elect to buy workers' comp insurance for themselves. Their clients might also require them to carry this coverage.