Work Comp coverage (by Bill [KS]) Oct 4, 2018 7:28 AM
Work Comp coverage (by NE [PA]) Oct 4, 2018 7:36 AM
Work Comp coverage (by Richard [MI]) Oct 4, 2018 7:42 AM
Work Comp coverage (by Bill [KS]) Oct 4, 2018 8:05 AM
Work Comp coverage (by Bill [KS]) Oct 4, 2018 8:09 AM
Work Comp coverage (by Robert J [CA]) Oct 4, 2018 8:49 AM
Work Comp coverage (by R [OH]) Oct 4, 2018 9:03 AM
Work Comp coverage (by Bill [KS]) Oct 4, 2018 9:06 AM
Work Comp coverage (by Ken [NY]) Oct 4, 2018 10:51 AM
Work Comp coverage (by #22 [MO]) Oct 4, 2018 7:06 PM
Work Comp coverage (by RentsDue [MA]) Oct 5, 2018 3:58 AM
Work Comp coverage (by razorback_tim [AR]) Oct 5, 2018 5:01 AM
Work Comp coverage (by Vee [OH]) Oct 5, 2018 5:38 AM
Work Comp coverage (by Bill [KS]) Posted on: Oct 4, 2018 7:28 AM Message:
Who do you use for your Work Comp insurance? We're having a hard time finding an affordable company that wants to insure property management companies. Part of our problem is our subs. We have some subs that are one man operations and they have exempted themselves from work comp coverage (which is legal and most one man sole proprietors around these parts do that). Previously, we were able to have these small companies sign affidavits exempting themselves and indemnifying our WC carrier, but seems like that's getting harder to do. These small guys are carrying Liab Ins but don't want to, or can't afford the WC coverage. Can't say that I blame them when they have no employees. Any suggestions? Thanks a bunch for any advice!ÿ --24.249.xxx.x |
Work Comp coverage (by NE [PA]) Posted on: Oct 4, 2018 7:36 AM Message:
Who is telling you that you have to carry workers comp on a sole proprietor with no employees? --174.201.xx.xxx |
Work Comp coverage (by Richard [MI]) Posted on: Oct 4, 2018 7:42 AM Message:
Hire them through a temp agency. Labor Ready is one that does a lot of construction type work. --23.121.xx.xxx |
Work Comp coverage (by Bill [KS]) Posted on: Oct 4, 2018 8:05 AM Message:
I am the original poster of this question. My insurance carrier isn't telling me a sole proprietor HAS to have WC coverage, because they do NOT have to have it by law. However, my insurance company does NOT want me to use them because if they get hurt they can come back and sue my insurance company, or the property owner where they were doing the work could. The insurance company used to accept an Affidavit form from these small contractors, but most are not now and they will come back and assess WC premiums against my company at the end of the year if these people did not have coverage and/or raise my premiums or drop me due to the additional risk. We don't want to lose these good small subs and want a WC carrier that has good rates that will work with us in these situations. --24.249.xxx.x |
Work Comp coverage (by Bill [KS]) Posted on: Oct 4, 2018 8:09 AM Message:
A temp agency won't work because they just send out unskilled laborers, or unlicensed with no real supervision. That would be fine if all we needed was something simple like hauling junk off or maybe painting something. We also don't want those folks knowing our lockbox combos, etc. We have some plumbers and electricians that are one man operators we use, along with some handymen/women. These are more specialized trades and we like to be able to work with the same people that have a relationship with us. --24.249.xxx.x |
Work Comp coverage (by Robert J [CA]) Posted on: Oct 4, 2018 8:49 AM Message:
In California the State Government bullied insurance carrier to drop Workers Comp from all policies except basic a home owners policy, not investment properties. So I became self insured. With only a 1/4 million dollars in a trust account I was good to go. That's until the Stated changed the rules and demanded the funds be held by the State. Then they refused to refund the money, even if you got a State Fund. Workers Comp policy. They did a RICO act violation and cornered the market. Then the State insured Pro Sports teams and lost hundreds of millions a year, thus raising the rates on everyone else. Your know that sports team members always get hurt and sit several games out -- at a loss of millions per game.
So Labor Ready, now called People Ready have day/week laborers from $18/hr to $35/hr -- that's cheaper than having your own employee's with the mandated insurance -- Workers Comp, health, with holdings, etc. --47.156.xx.xx |
Work Comp coverage (by R [OH]) Posted on: Oct 4, 2018 9:03 AM Message:
Hi Bill,
In Ohio I think I can get WC on a limited basis for such workers through the State of Ohio. Perhaps Kansas has such a program. Good luck. --12.47.xx.xx |
Work Comp coverage (by Bill [KS]) Posted on: Oct 4, 2018 9:06 AM Message:
Thanks Robert J, California regs are nuts! However, these are NOT my employees and I am using subcontractors for the same reason you cite using temp agencies, which will not work for the specialized trade work we need done on a daily basis. Thanks for your reply though. --24.249.xxx.x |
Work Comp coverage (by Ken [NY]) Posted on: Oct 4, 2018 10:51 AM Message:
Even if they had comp they cant use it as the owner of the company if they get hurt.You could use a temp agency by having your guys work for the agency but your guys wont accept that arrangement and it will cost you too much.When I had employees and hired a sub that would accept proof they were self employed subs by an ad in the yellow pages and a business card but maybe not any more.Find out how much more your comp policy will charge for the guys and maybe break out material and labor separate so you have a labor price and one of you will decide it is worth it to pay it. At one point when I had employees I put my employees on the books through a LLC that did nothing but sub those guys to my LLC that was doing the deals,this way if I got audited they didn't get into the books of my company actually doing the deals and ask about the plumber,electrician etc that were actual real subs,all they saw is the books for the company doing nothing but subbing to my other company and it made it easy and quick --72.231.xxx.xxx |
Work Comp coverage (by #22 [MO]) Posted on: Oct 4, 2018 7:06 PM Message:
Comp stinks. I carry it and it's costly. Plain and simple, if you want it, it's gonna cost a lot of money.
I've found a decent number or reputable subs who carry comp - guys that are involved in new construction are more likely to have comp policies.
I don't know of any workarounds.
Temp agencies have been terrible for me - tried it a few times and got the bottom of the barrel.
If you want comp and to keep good subs - probably gonna have to bite the bullet and pay it.
--173.24.xxx.xxx |
Work Comp coverage (by RentsDue [MA]) Posted on: Oct 5, 2018 3:58 AM Message:
Your concerns are valid. An uninsured worker, regardless of whether or not it is legal, is still uninsured. If they get hurt they will likely sue you. If they break down labor and materials on their invoice then you should only be paying premiums on the labor. Don't be fooled into thinking that a temp agency worker can't sue you. They are NOT a better option and are a much riskier option. The temp agency pays their comp if they get hurt, but that is limited and doesn't include pain and suffering. That is where the big money is.... So they come after you for that because they can. Because you are not their employer they are not limited to comp. --71.10.xxx.xxx |
Work Comp coverage (by razorback_tim [AR]) Posted on: Oct 5, 2018 5:01 AM Message:
I have First Comp through Markel. Whether they will accept the waiver from sole proprietors may be state specific. Here they will take one that is filed with the state but you can’t just have someone sign an affidavit and not pay comp on their work. As someone else pointed out you should be able to save premium by paying labor and materials separately as the WC premium should be based on labor only. --166.137.xxx.xx |
Work Comp coverage (by Vee [OH]) Posted on: Oct 5, 2018 5:38 AM Message:
It is always a balancing act trying to get pro quality work for crackhead prices. --76.188.xxx.xx |
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