Workers Compensation was designed to protect Employers from having to pay large lawsuits when employees are injured on the job. The Florida Workers Compensation laws are clear and listed below if you would like to take a look.
The way it works and an easy way to remember it is if you ARE in the construction industry than you MAY exempt yourself and no one else. Which means if you hire one employee you MUST carry workers compensation? YES! Corporate officers, sole proprietors and partners are considered employees in the construction industry. However did you know that if you are a GC (General Contractor) in Florida and you hire a subcontractor to conduct a job that subcontractor and his employees that are NOT exempt to the Workers Compensation law fall on your Workers Compensation coverage or lack thereof. Basically if you are a one man show you are ok, however as soon as you hire any employee whether it be a subcontractor, or a full or part-time employee you must obtain Workers Compensation insurance in Florida.
Now let’s spin it if you are NOT in the construction industry then you are allowed to exempt up to three officers. Corporate officers are considered employees however sole proprietors and partners are not in the NON-construction industry unless they elect too be employees.
Department of Financial Services:
When you purchase Workers Compensation in Florida make sure you get the appropriate discounts that apply to your policy. If you are not getting one or all of these call us now to find out how.