Get a Workers’ Compensation Insurance Quote for Florida
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Operating a business always comes with certain costs, but those financial burdens tend to be greater in Florida because of the state’s workers’ compensation insurance laws. The Sunshine State’s requirements force most companies with four or more employees to find coverage, though that threshold is different for businesses in the construction or agricultural industries. This can lead to significant expense on the part of most employers.
Rates can change based on the types of tasks your employees perform and are based on a list of several hundred job classifications laid down by the state. Compounding these calculations is the fact that, while the insurance rates are regulated by the state, a modifier is applied for businesses that have spent a certain amount in premiums – a boon for some companies, to be sure, but not one that helps new businesses.
If you find yourself in the uncomfortable position of needing a workers’ comp insurance quote right away, NPN Brokers can help. Our experience and connections in the industry allows us to hunt down the policy that fits your needs, often within 24 hours. To learn more, call us at (866) 340-9120 or visit us online today.
Requirements for Workers’ Compensation Insurance
With very few exceptions, every employer in Florida is required to maintain a workers’ compensation insurance policy. The guidelines for the exact requirements are laid out on the state’s Department of Workers’ Compensation:
- Businesses in the construction industry must have a workers’ comp policy if they have one or more employees
- Businesses in the agricultural industry must offer workers’ compensation if they have six or more regular employees and/or 12 seasonal employees; to qualify for the “seasonal” designation under the law, an employee must work at least 30 days in a season but no more than 45 days in a calendar year
- All other businesses must offer workers’ comp if they employ four or more people
The rules governing who constitutes an employee usually include owners who operate as corporate officer and members of a limited liability company; knowing exactly how you are classified under this system will help you to stay in compliance with Florida regulations.
Penalties for Not Having Workers’ Compensation Insurance
Although it may seem tempting to try and dodge Florida’s workers’ compensation regulations, the penalties for failure to comply can be steep, and state investigators are empowered to conduct on-site inspections. If you are caught without a policy, direct financial consequences can include a fine of double the amount your company would have paid in premiums over the last two years, or a minimum fine of $1,000. Depending on whether any other misconduct took place – falsifying a statement, for example, or firing an employee for filing a workers’ compensation claim – additional fines and fees could be assessed worth many thousands more.
The state is also likely to impose a stop-work order if they find you in violation of insurance requirements. Simply put, this type of order prevents you from operating your business until you have paid all penalties and obtained workers’ compensation coverage. Ignoring the order is not recommended; the fine for this is $1,000 for each day you operate in violation of the order.
Following a work-stop order comes with its own set of drawbacks, of course. The loss of profits will obviously hurt your bottom line, and the damage to your reputation can be substantial. Several related offenses can even result in felony charges, which could lead to jail time:
- Making a false statement to obtain coverage or lower your premiums
- Failing to report a workplace injury to your insurance company
- Firing or threatening to fire an employee for filing a workers’ compensation claim
- Taking money from employees’ pay to cover workers’ comp premiums
- Fraudulently claiming that an employee is an independent contractor
If the monetary value of your violation is less than $20,000, it may be considered a third-degree felony; if the value is between $20,000 and $100,000, it may be a second-degree felony; and if the violation is valued at more than $100,000, it could constitute a first-degree felony.
Finding a Policy That Fits Your Needs
In the face of all the possible costs and consequences, the takeaway is simple: if the law says you should have a workers’ compensation insurance policy, the cheapest and least stressful option is usually to just find a policy. Unfortunately, this is sometimes easier said than done. The straightforward option is just to reach out to an insurance agency or company and request a quote, but those working in more dangerous industries and those without an established record of paying premiums may not be able to find a favorable quote.
Professional employer organizations, or PEOs, can offer relief to companies who need coverage as soon as possible. The PEO will assume responsibility for certain administrative tasks – namely, payroll and human resources – and extend their workers’ compensation policy to your employees. This can bring provide the coverage your business needs at a price you can afford.
Let NPN Brokers Help You Get Back to Work
Navigating the insurance process can be a trying task at the best of times; if you have a general contractor or state investigator breathing down your neck, the process only becomes even more stressful. At NPN Brokers, we believe that workers’ compensation coverage should not be an obstacle for your business. If you are looking for a reasonable quote on workers’ comp insurance, or if you just need coverage as quickly as possible, we can provide relief. To learn more, visit us online or contact us today at (866) 340-9120.