My subcontractor is a sole proprietor, and has elected not to be insured for workers compensation coverage. Why am I being charged for their exposures?

If a subcontractor is injured on the job, they will be treated as an employee of the general contractor for workers compensation purposes. While they are not required by law to carry insurance on themselves, they can submit claims on a general contractor’s policy. Therefore, policyholders are charged a premium for the amount paid to subcontractors who can’t provide a valid workers compensation certificate of insurance. Learn more about subcontractor classification.