Worker Comp Question

[ryanpickett2003]

My company is small with just me and my grandfather. We are both workers comp exempt in FL. I have a friend who is trying to get in an apprenticeship program, but he's having a hard time finding someone to work with until next year. I've never had to purchase workers comp so I'm not sure how it works. I would like to allow him to work with me so he can get a head start on his OJT. Am I required to have WC if its only temporary. I hate to purchase WC just to have someone for a short time. Any info would be appreciated.

 

[Daja7]

My company is small with just me and my grandfather. We are both workers comp exempt in FL. I have a friend who is trying to get in an apprenticeship program, but he's having a hard time finding someone to work with until next year. I've never had to purchase workers comp so I'm not sure how it works. I would like to allow him to work with me so he can get a head start on his OJT. Am I required to have WC if its only temporary. I hate to purchase WC just to have someone for a short time. Any info would be appreciated.

if you have an employee tou have to have workers comp. Just like you have to have payroll taxes.

 

[kwired]

Unfortunately if you are employing them you need the insurance. If you contract them then technically they are self employed and need to provide their own insurance, but it isn't quite that simple either, especially if there should be a claim type of incident and things end up going to court. To start with you generally need to have your sub contractors provide insurance certificates or else you must still cover them.

The next problem is if you have no other employees it becomes more difficult to get insurance for a short time as that is not how the policies are set up. You get a policy and the premium is based on estimated payroll figures, they then audit you annually to see what actual payroll figures were and at that time will either refund you for unused premium or will want immediate payment if underpaid in premiums. They do not like to start and stop policy just because you did not have any employees during a particular period, they want to wait until audit time to adjust things.

 

[mgookin]

The easiest way is to use an employee leasing company. Don't tell them anything is temporary.

 

[ramsy]

I hate to purchase WC just to have someone for a short time.

A case for workers compensation exceptions, legal alternatives, & need for incentives.

Specific exceptions:
My State WC statutes in the public domain specify a laundry list of exceptions to WC, including family members, certain industries, etc.. If something looks applicable, contact your State labor department for referral to a specialist who can competently discuss it with you.

WC scams:
Some property insurances offer Workers-Comp. riders. Since policy underwriters limit coverage to after ?Certificate of Occupancy,? or after 52 hours of work, and only allow 40-total man hours per week, claims are deniable, if not void by workers without the required license, or required proof of employee-payroll deductions.

The CA supreme court is interpreting in favor of the injured. Owners are losing properties after court-awarded damages, for injury that insurance won?t pay. To protect the public from this strategic entrapment that invalidates claims, CA Ins. Code 11590 mandates ?comprehensive personal liability? must provide for worker bodily injury during the first 52 hours. Policies simply using the word ?comprehensive? do not guarantee the same coverage.

Legal Alternative to WC
One alternative used to protect clients from these bad-faith insurers, misleading language, denied claims, and uninsured liability, is to refuse the work if missing the required license, or refuse where WC is required. The legal scope of such work is narrow, and compliance is impossible without refusing offers that would violate licensing or employment laws. The building trades has a history of interview by handshake, and payment in cash. Refusing work is about as likely as builders ignoring hitch-hiking laborers in front of hardware stores. Especially, with the rare exception of license-board sting operations, since WC enforcement requires catastrophe to someone elses property.

Employee Insure Thyself
The government provides academic financial aid, gambling tens of thousands in College tuition with no guarantees except certain debt. Students need a choice between tuition, or a WC subsidy with a chosen employer, which pays for itself with immediate employment. The Government provides "food stamps", why not "work stamps" to incentivize employers to train & retain the bearer of this subsidy, with payroll services available under the "work stamp" program. Growing in numbers without legal employees, the market of owner operators, and self-employed trades, might take helpers bearing a WC-insurance subsidy.

 

[kbsparky]

The easiest way is to use an employee leasing company. Don't tell them anything is temporary.

We used BesTemps to handle payroll, worker comp, unemployment, etc. when I first started out hiring employees.

I negotiated with them to handle all of it, and they provided the paycheck and coverage to the apprentices.

We simply paid them a percentage over the stated pay rate. Simple, and effective in complying with all those laws.

 

[ryanpickett2003]

Thanks for all the info.

 

[GUNNING]

temp

temp

My company is small with just me and my grandfather. We are both workers comp exempt in FL. I have a friend who is trying to get in an apprenticeship program, but he's having a hard time finding someone to work with until next year. I've never had to purchase workers comp so I'm not sure how it works. I would like to allow him to work with me so he can get a head start on his OJT. Am I required to have WC if its only temporary. I hate to purchase WC just to have someone for a short time. Any info would be appreciated.

I used RAMS out of Ocala as a employee leasing co in the past. Make sure they are a CE if you use a leasing service. The other thing you can do is ask around to other local contractors to have them do the payroll on the employee as a sub contractor arrangement. Everyone likes having a handle on good help. I have used local rent a drunk agencies when I used labor but there are limits on the type of work you can have them perform. They can dig the ditch but can't put pipe in it or pull the wire.