What is worker’s comp?
Worker’s Comp, (or worker’s compensation) is insurance provided by your employer to protect you as an employee. If injured on the job, this coverage pays for the worker’s medical costs, rehabilitation and income benefits.
Indiana law requires most businesses to carry this coverage for their employees but only for employees who have taxes withheld. However, for employees who are sub-contracted or 1099’d with no taxes withheld, the employer is not required to carry worker’s comp coverage.
Contractors should always make sure people they hire as sub-contractors carry their own insurance. Contractors should also require anyone they sub-contract to provide certificates of insurance before doing any work. Furthermore, contractors should ask their subs to provide evidence they have their own workman’s comp coverage or a waiver from the state.
Employers not required to carry the coverage can fill out a waiver from the state stating their exempt worker’s comp status.
If you have further questions, you can always contact one of our agents at Wilkinson Insurance Agency in Brownsburg, Indiana for more information.