Who Qualifies For Worker’s Comp Exemption

July 9, 2021

Workers’ compensation insurance is required in most states for businesses that have employees. However, in some cases, business owners and workers can be exempt. In most cases 0your employees can get workers’ compensation insurance benefits if they get hurt or sick from their job. But, some jobs can be exempt from coverage.

For example, not all states require workers’ compensation for self-employed and independent contractors. An exemption from workers’ comp may also apply to:

  • Maritime workers
  • Government workers
  • Shop owners
  • Volunteers
  • Railroad employees
  • Farm workers

Some states may also exclude employees from getting workers’ compensation benefits if:

  • They have mental health issues not caused by their work
  • Their injuries are from a fight, from a policy violation or self-inflicted
  • They got hurt while they were away from work

Florida Workers’ Compensation Exemption Requirements

Just like each state has its own workers’ compensation laws, there are also unique workers’ comp exemption requirements. For example:
Florida workers’ compensation exemptions differ for construction or non-construction businesses. The Division of Workers’ Compensation also has different rules for corporations and limited liability companies to be eligible for an exemption.

To get an exemption for workers’ compensation coverage, your business has to go through your state’s screening process. You may have to apply for or renew your exemption by filing a “Notice of Election to be Exempt from Workers’ Compensation” with your local workers’ comp office. To become an exemption applicant, you’ll need to provide:

  • Employee information
  • Details on the type of business you own
  • Up-to-date business license
  • Proof of ownership

The Benefits of Workers’ Compensation

In the early 20th century, state governments, employers, and employees made a grand bargain. Employers would automatically cover the costs of their employees’ work-related injuries and illnesses. In return, employees would give up their right to sue their employers when they got hurt or sick. The result? Employees would get immediate help with their doctors’ and rehab bills and receive a portion of their lost wages during their recovery. Meanwhile, their employers would avoid financially crippling lawsuits.0

Who Qualifies For Workers’ Comp Exemption in Florida

States like Florida exempts firms that employ few workers. Or they may exempt employees who only work a nominal number of days a year or who earn relatively little. For example, agriculture workers or real estate agents are sometimes workers’ comp exempt due to the nature of their work.

Do Business Owners Without Employees Need To Buy Workers’ Comp?

That’s a tricky question. The answer depends on both your ownership status and the customers or clients for whom you work. If you’re a sole proprietor, partner, or LLC member in a firm with no employees, you (and all the other owners) can apply for the workers’ comp exemption that applies to your ownership status.

However, be prepared for customers to request a copy of your workers’ comp certificate of insurance before doing business. Why would a customer care about you having workers’ comp insurance? Because if you don’t have coverage and you get injured while working for them, they might be liable for your medical expenses. Similarly, if you hire independent contractors and they don’t have their own workers’ comp coverage – and you don’t either – your customer might wind up being liable for worker injuries.

A factor to consider: Just because you’re eligible for an owner’s workers’ compensation exemption, doesn’t mean you must apply for it. There are benefits to being covered by a workers’ comp policy, and you may decide to opt for coverage.

Best Workers Comp Pharmacy in South Florida

Each injury is unique and so is the recovery process. The type of workers’ compensation benefit you receive will largely depend on the scope of your injury. Your doctor will examine you and come up with a course of action that may include medication. If prescription medicine is part of your treatment then look to Our Pharmacy Network to provide the gest workers’ comp prescription medication service in South Florida.  If you need more answers concerning Florida workers’ compensation that weren’t provided to you here, feel free to call us today at  844.238.9313 or visit our contact page.

 

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