Workman's Compensation Insurance

[overtime]

What exactly is Workman's Compensation Insurance? Does a "One-Truck-Johnny" really need it? I have Liability (would be caught without it), I have a great health insurance program, and with other sources of income, I am not worried if I am unable to work for a few days. So other than someone I'm doing work for requiring that I have Workman's Comp, is there another reason? What exactly does it cover? I mean, if I have someone come to my house and do work on the roof or something, should I require them to have it also?

This apartment complex that I want to work on requires workman's comp, but strangely is not inquiring about liability insurance. They do have a provision in their vendor application where they will withhold a certain percentage of the "billed" labor cost if you don't have workman's comp. I may just find out what that amount is and raise my rates accordingly.

[trane]

In my state you only need it if you have any employees. Most of the time you can sign a waiver that you are not required to have it if you are self employed. Like all insurance companies they are a joke in my opinion. For what it costs me, my guys could have a big pay raise and still have health insurance. On the other side of it is if someone gets hurt bad it can break you if you are required to carry workers comp. and don't. Good luck

[Linden Swanson]

Workmans comp is medical insurance to cover employees that are injured on the job. It is required by law (difficult exceptions) in all states. What is required varies from state to state. Workmans comp does not cover the owner. The insurance companys position is that covering the owner could easily lead to fraud, particularly in small shops.

It is very common for property managers/owners to require a certificate of insurance to prove workmans comp, liability and/or vehicle insurance. The reason for this request is that should an employee be injured on the job, and the employer not have insurance, the employee can sue the property owner and will probably win.

Unfortunatly, owners without employees fall thru the cracks. Sometimes they will allow you to sign a "hold harmless" that states you have no employees. Some places use the requirements to limit or keep out the small guys.

[SeattlePioneer]

<<I have a great health insurance program,>>


Most individual health insurance plans exclude coverage for work related injuries or illnesses. And insurance companies will often follow up claims on back injuries and such to determine whether they are work related, with an aim of denying coverage.

In my view, an owner/operator should cover themselves with worker's comp insurance and deduct the cost on your taxes.



Seattle Pioneer

[Diceman]

Employees or no, just get it and keep it, it is based on pay and even asks for sub contractors charges every year. It is pretty cheap if you don't list any. Also, many places require it whether you work alone or not.