Workers Compensation for Condo Associations
Condominium Employees Need Coverage
Workers Compensation insurance covers employees that are injured or hurt on the job. A Condominium Association is not required to carry this coverage if they have fewer than four employees. However, if an employee gets injured on the job and the Association does not have coverage, the Association will be responsible for the medical and other costs related to the injury. This is a big exposure and we recommend that if a Condo Association has even one employee that they carry workers compensation insurance.
If an Association has no employees is there still an exposure?
Even with no employees, there is still a risk to Condo Associations having to do with independent contractors working on the condominium grounds. Whenever contractors come on to the property, the Association needs to verify their workers compensation coverage or get proof of their exemption status. If the contractor has neither and someone is hurt on the job, the Condo Association could be left paying the bills.
One option to help protect Condo Associations that do not have any employees is a workers compensation "IF ANY" policy. This is a fairly inexpensive policy that helps to protect the Association from contractors or vendors that come on to the premises and do not their own workers compensation coverage.
For example, lets imagine that a painter comes on to the premises to paint your condo building. They send over a certificate of insurance showing their workers compensation coverage. One of their employees falls off a ladder and gets hurt, and you find out after the accident that the contractor’s workers compensation insurance had been canceled for non-payment. Your workers compensation “IF ANY” policy would be in place to respond.
Has your insurance agent offered you a quote for Workers Compensation "IF ANY" insurance?
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