Do I Still Need Workers Comp Insurance (Even If I Have No Employees?)

worker's compensation form in black background

Running a business requires a large amount of balance against risk and potential company gain. Protecting yourself against those risks helps keep a good business running.

One big risk is employee health and safety. Protecting this is the role of workers comp insurance, but what happens when you don't have any employees that need protection? 

It's a simple question, with more than a simple breakdown. Let's dive deep into what you need to know about workers comp insurance in your business. 

The Simple Breakdown

The simple answer to the question is no; there is no absolute law that requires you to get workers comp insurance if you have no employees. This is not the full story.

First, some state laws may have more specific requirements you might need to follow. When in doubt, check with your state laws to determine where you stand.

Second, workers comp insurance may still have some benefits for you even as the only official employee. 

Understanding the Importance of Workers Comp Insurance

The basic structure of our health care system often revolves around employer health care. When you are your own employer, you need to take steps to make up the gap. 

Some personal health care plans don't cover injuries or illnesses that happen when at work. Workers comp insurance can make up the difference. 

1. The Extra Protection

Being injured at work is a pain to go through, but the loss of income can make it even worse. Many contractors in physical jobs should consider the extra protection to keep them safe from massive medical bills and weeks or even months off the job.

2. Insurance Requirements for Contract Work

If you do contract work, many people may not even hire you if you do not have the workers comp insurance to protect yourself. Otherwise, you may be a potential liability to your client!

In some states, you cannot even operate as an independent contractor without some form of workers comp insurance. 

3. Hiring Contract Workers

If you only need limited assistance in your business, you may look toward contract workers for help. This is great, but like your needs when working with a client, you also need to ensure that your contract workers have the appropriate insurance.

The legal exemptions from the requirements of workers comp insurance do not protect you from potential liability when things do go wrong. 

When in doubt, protect everyone involved in your company. 

How to Find the Right Medical Professionals

If you do consider any workers comp insurance, there is one last item you will need to keep in mind. Not every doctor's visit falls in line with workers comp requirements. To ensure you meet all the requirements, you need to find certain doctors.

Workers Comp Doctor is a great website that allows you to find medical professionals in a wide variety of fields near you that work within the requirements of workers comp insurance. With this tool, you won't have to second guess your medical care. 

Minding All the Details

These small details of workers comp insurance can make a break a small business. Understanding these ideas, and what works best for you and your business, can save you a lot of money and frustration in the long run.

Learning the ins and outs of how to do things is important. The tiniest of notions can make or break your attempts at success. Keep the information flowing and mind all the details with our other articles today. 


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