When starting a new business, everything is, well, new. Some things you can let slide while you gain your bearings and others, you absolutely can’t. If you don’t know the rules and laws related to workers’ comp insurance in Charleston, SC, it can really come back to bite you. Before you put the open for business sign up, make sure that you are covered by knowing these facts.
What Businesses are Required to Carry Workers’ Comp in South Carolina?
Businesses that have four employees or more are by law required to carry workers’ compensation insurance, which includes both family members and part-time workers.
Are There Any Exemptions?
If you own a business that employs three workers or less and has less than $3k in payroll annually, your employees are within the agricultural sector, country or state fair association, railway express or railroad company, or federally employed workers, then you are exempt from having to carry workers’ comp insurance.
What About Non-Profit Organizations? Are They Required to Carry Workers’ Comp?
There are no special allowances made to exempt non-profit organizations from having to provide workers’ compensation insurance to employees.
Do General Contractors Have to Carry Workers’ Comp?
When it comes to general contractors, the decision of whether workers’ compensation insurance is required is considered on a case-by-case basis. If you have any questions about whether it’s necessary for you, it is best to refer to your legal representative.
Are Subcontractors With Fewer Than Four Employers Required to Carry Workers’ Compensation?
Just as with general contractors, subcontractors are likewise an individual case decision. There are certain factors that determine whether you are required to or not, but it is best to check with a legal representative.
What is an Independent Contractor?
If you are an independent contractor, then you are responsible for your own liability while working. An independent contractor is defined as anyone who can exercise control over their work, equips or furnishes that work, controls the method of payment, and maintains the right to fire.
How Does a Small Business Purchase Workers’ Compensation Insurance?
Workers’ compensation insurance can come with different coverage options and decisions, but there are minimum requirements that need to be met. You want to make sure to keep the costs low so you aren’t paying for more than you need, but you also want to make sure that you have all the protection that you and your employees need. Because things can be complex and confusing, it is a good idea to find an insurance company like Abri that can explain it in easy-to-understand terms.
As we head into a new year, many individuals will take a leap in opening a business and trying to go it alone. If you are one of the many looking to go out on your own, make sure that you have the insurance necessary to protect not just yourself but your employees, too. At Abri Insurance, we offer many workers’ compensation packages to ensure that you will be covered completely. Contact us today for more information.