Ask PIA

Nonrenewal notice

Can a company nonrenew a voluntary market workers’ compensation policy because of a history of slow payment by the insured?

Rating procedure—minimum premium

In rating a workers’ compensation policy subject to minimum premium, is the expense constant added to the minimum premium?

Partners, executive officers

We insure a wholesale store with only two employees who are the owners of the business. Their accountant said they don’t need to carry a workers’ compensation policy, since they both are owners. Is this true?

Voluntary supplement won’t cut worker’s benefits

One of my clients is an employer, a key employee of whom has sustained an on-the-job injury. The employee will be disabled for a number of months, and the employer has filed a workers’ compensation claim.

The insurance company has agreed to pay the injured worker the maximum disability benefit per week until he can return to work. The employer would like to pay the worker the difference between the workers’ compensation disability benefit and his regular salary.

If the employer pays the difference, will this act in any way reduce the worker’s disability benefit?

Uninsured subcontractor—NYSIF premium

Our general contractor client hired a sole-proprietor subcontractor who works alone without employees. He has not elected to carry workers’ compensation on himself. How can we keep our client from having to pay a workers’ compensation premium for the subcontractor in the New York State Insurance Fund?

Disability for leased employees

In an employee-leasing arrangement, is New York’s statutory disability coverage the responsibility of the leasing company, the business that leases the employees or both?

Landowner’s liability for uninsured contractors

We’re concerned about a possible exposure for a municipality we insure. The municipality leases land to a firm that runs an airport. Recently, we learned that the airport’s workers’ compensation policy was canceled for nonpayment. If an airport worker is injured at this point, can the municipality be held responsible?

’Voluntary’ workers’ compensation: not for volunteers

Our insured is a fundraising organization that runs a Meals On Wheels program. Occasionally, volunteers help them out. Are the volunteers covered under the insured’s workers’ compensation policy? If not, is there an endorsement that could provide coverage?

Self-insured programs—employers’ liability

We are helping a hospital set up its workers’ compensation self-insurance program. Our concern is with employers’ liability, since there is no limit to employers’ liability under New York law; yet, in purchasing workers’ compensation excess policies, we find that there are no unlimited coverage policies available. What approach should we take to put safeguards in place?

Employment status

An employee was directed by his employer to pick up the employer’s mail on the way to work. On this trip, the employee had an auto accident. Is this employee’s injury covered under the New York Workers’ Compensation Law?

Caddies defined

How do we handle caddies for purposes of workers’ compensation? The caddies are compensated by the players they caddy for.

Workers’ compensation employee waivers

Insured has an independent contractor who does part-time clerical work for him at his office. She also works for some five to 10 other people at any given time and with exception of the insured and one other employer picks up paperwork and takes it to her home for processing. She is paid a flat hourly rate and determines her own hours as to time and number. The accountants for everyone in this group of employers agree she is subject to a 1099 and meets the federal 21 questions as an independent contractor. It appears the New York Workers’ Compensation Board holds this individual as an employee for their purposes because she uses his premises. I was advised that there is a disclaimer form available where she can opt out of coverage. I have been through the manual and all the endorsements and am unable to find such a form. Can you advise where it can be found?

Religious institutions

Is workers’ compensation required for clergy or employees of the church (i.e., secretary, organist, etc.)? If not, what happens when one of these employees gets hurt on the job at the church?

Workers’ compensation—LLC as named insured

Should the members of a limited liability company be listed as named insureds on a workers’ compensation policy?

Treatment of LLC members under the Workers’ Compensation Law

My client is a limited liability company with one member. A workers’ compensation policy was purchased to cover a worker employed by the LLC. However, the policy was not intended to cover the member, and so coverage was not elected. Later in the policy term, the worker left employment and was not replaced. When the policy was audited, the insurer charged premium for the member beginning with the time the worker’s employment ceased, subject to the minimum and maximum remuneration for a member. How can the insurer suddenly charge premium for the member when coverage has never been elected?

Certificate law and WC insurance

Does Insurance Law (Article 5) governing certificates apply to workers’ compensation policies? If so, does the New York State Insurance Fund have to file its certificate form?

Stopgap insurance

Could you explain “stopgap” insurance? How is it provided?

Workers’ compensation—Florida domestic employees

We’re not sure where to turn to obtain workers’ compensation for a domestic employee who will be coming into our clients’ Florida home to care for the husband. Their homeowners carrier says we have to go through the Florida state plan. The state plan says it will provide coverage only if there are four or more employees. What should we do?

Covering workers’ compensation exposures in the Virgin Islands

We need to cover a possible workers’ compensation exposure in St. Thomas, Virgin Islands. Does St. Thomas require workers’ compensation and how can I provide it?

Temporary work in Canada

Our client will be doing well drilling in Ontario, Canada. How do I cover the workers’ compensation exposure?

Audit time frames

According to the insurance carrier, the wrong rates were used to rate workers’ compensation coverage for a construction business in 2023-24. In 2026, after a third audit, the company discovered the rate discrepancy and is now suing the business for the difference. Can they do this?

Workers’ compensation fines

Can members of a limited liability company or officers of a corporation be held personally responsible for workers’ compensation fines when the employer has failed to comply with the insurance requirements?

Form 154 requirements for out-of-state businesses when operating in Massachusetts

What workers’ compensation insurance requirement applies to a business domiciled in another state, but operating in Massachusetts?