What are an Employer’s Responsibilities for Workers’ Comp in Florida?

The Workers’ Compensation Act applies to all employers and a policy from an approved carrier is mandatory for most employers in Florida. Below, you will find information about workers’ compensation requirements by industry. Employers must know the requirements of workers’ compensation coverage so they are in compliance with all applicable laws.

Failure to have workers’ compensation insurance when required is a violation and subjects employers to penalties. Non-compliance can cause a business to be shut down (with a Stop Work Order) till coverage is obtained.

Some employers can qualify for an exemption (see article here.)

Some Basic Facts of Workers’ Comp Coverage:

It is the responsibility of the employee to report a work-related accident to his or her employer immediately.
If an employee is injured or gets sick on the job, the employer is responsible for the most reasonable and necessary medical care available. The employer is also responsible for any attorneys fees incurred by the employee. Unless they qualify for an exemption, employers are required to have a workers’ comp policy in addition to their own funds.

The employer, thru his or her workers’ compensation insurance carrier, has the right to choose the medical provider(s) for the injured or sick employee. In almost all cases, the carrier will maintain the right to choose providers.

If the medical provider deems that an employee must be out of work for a certain length of time due to a work-related injury or illness, the employer and the workers’ comp carrier will also replace two-thirds of the employee’s lost wages.

Workers’ Compensation coverage must be paid by the employer at no cost to the employee.

Workers’ Compensation Requirements – by Industry: (number of employees that make a workers’ comp policy with an approved carrier a requirement.)

Construction Industry – If a construction company has one or more employees, other than the owners of the business who are corporate officers or Limited Liability Company (LLC) members.

Non-Construction Industry – If there are three or more employees, other than the business owners who are corporate officers or Limited Liability Company (LLC) members.

An exclusion to this would be sole proprietors or partners in a partnership. They are not considered employees unless they wish to be included on the businesses Workers’ Compensation Insurance policy.

Agricultural Industry – If there are six regular employees and/or twelve seasonal workers who work more than 30 days during a season but no more than a total of 45 days in a calendar year.

Contractors who use Subcontractors: The contractor, in this case, is required to make certain that all sub-contractors have the required workers’ compensation insurance. This must be in place prior to beginning work on a project.

If a contractor hires a sub-contractor who does not have workers’ comp for his or her employees, the employees of the sub-contractor will be treated as the employees of the contractor. It’s important to note this because should an injury occur, the contractor is responsible for paying the benefits for the work-related injury, illness or fatality, not the sub-contractor.

Out of State Employers: If an out of state employer is doing business and hiring employees in the state of Florida, he or she must notify their insurance carrier that they are working and/or doing business in Florida. If said company does not carry insurance, the out of state employer is required to obtain a Florida Workers’ Compensation Insurance policy with an approved carrier that meets the requirements of Florida law and the Florida Insurance Code.

Regardless of what business you own or what industry you own, especially if you are starting a new company, it would be wise to know what responsibilities you have to your employees regarding workers’ compensation. The safety of your workers and the health of your business depend on your knowledge of the laws.

If you have questions about getting or improving your coverage, you may contact us using the form below, or call us at 407-490-2468. Remember, we can’t help if you don’t ask.
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