Workers’ Compensation Insurance for General Contractors in New Jersey
If you are a general contractor, you might need Workers’ Compensation insurance. This type of insurance can protect you and your employees if a workplace accident occurs in New Jersey.
General contractors only need Workers’ Compensation when they employ other workers. That said, all contractors should have Workers’ Compensation as the risk of workplace injuries is considerably high. When general contractors have insurance, they can file a claim for benefits if injured on the job. The cost of your monthly premiums will depend on your specific history as a general contractor. Workers’ Compensation can protect you from litigation if an employee is hurt at work, and getting coverage can ensure you are not given a stop-work order in New Jersey.
Call (866) 340-9120 to get a quote from NPN Brokers’ New Jersey Workers’ Compensation insurance brokers today.
When New Jersey General Contractors Need Workers’ Comp Insurance
Like many states, New Jersey takes Workers’ Compensation seriously for a wide variety of businesses and professions. Regarding general contractors, coverage requirements may vary.
When working alone, contractors in New Jersey do not need Workers’ Compensation. General contractors, specifically, tend to oversee projects, meaning they typically employ other workers in addition to themselves. Thus, according to New Jersey statutes, general contractors with employees will have to purchase Workers’ Compensation policies.
Although contractors working alone are not required to get insurance, they can do so. Our Workers’ Compensation insurance brokers can find affordable and flexible plans for general contractors, regardless of their coverage requirements or the size of their workforces.
New Jersey General Contractors and Workplace Injuries
General contractors could either do every aspect of a project or mostly oversee a project. Regardless, general contractors and the workers they employ are at risk for sustaining workplace injuries in New Jersey.
General contractors typically operate in a construction-like environment. Even simple home improvement projects present the opportunity for serious workplace accidents. General contractors and employees of general contractors are more likely to sustain certain injuries, such as burns, broken bones, scrapes, repetitive motion injuries, head injuries, eye injuries, sprains, and others. Although workplace accidents can happen in any field, they are more likely to occur when workers are exposed to dangerous materials regularly, like general contractors often are.
Workers’ Compensation Claims and General Contractors
If you, as a general contractor, are injured at work, you can most likely file a claim with your insurance carrier, provided you have Workers’ Compensation coverage in New Jersey.
When general contractors get Workers’ Compensation, they are able to claim the same benefits their employees are entitled to, provided they have not filed an exemption from coverage. This means you can file a Workers’ Compensation claim and receive benefits that supplement a portion of your income while you heal, as well as cover the medical expenses related to your injuries.
If any of your employees are hurt at work, they can also file Workers’ Compensation claims. As the employer, you can help investigate each workplace accident and provide any requested information by your carrier. You will not have to pay benefits to an injured employee personally. Your insurance carrier will provide the benefits if an employee’s Workers’ Compensation claim is approved.
Estimating the Cost of New Jersey Workers’ Comp Insurance for General Contractors
Workers’ Compensation costs for general contractors will vary, depending on the type of work they perform in New Jersey.
General contractors that perform commercial construction projects will typically have higher Workers’ Compensation premiums from the get-go, as the nature of their work is inherently risky. Comparatively, general contractors that do home renovations might have lower premiums as there is less risk involved.
Another factor that might influence the cost of Workers’ Compensation for general contractors is the size of their payrolls. Larger workforces tend to cost more to insure, whereas general contractors that work with just a few additional employees might see less expensive premiums.
Furthermore, the longer you go without a workplace accident, the less costly your insurance may become. Workers’ Compensation insurance carriers typically reward those who maintain a safe working environment by reducing premiums.
How General Contractors Get Protection from Workplace Accident Lawsuits in New Jersey
By providing benefits to injured workers, Workers’ Compensation protects employers from employee lawsuits. Without Workers’ Compensation, there is nothing protecting general contractors from possible litigation.
As is the case in many other states, New Jersey holds that Workers’ Compensation is the primary recovery method for those hurt on the job. That is why all employers with employees need insurance coverage. When general contractors do not provide insurance for their workers, they become vulnerable to employee lawsuits should a worker be injured on the job and be unable to file claim with an employer’s Workers’ Compensation carrier.
The only way to absolutely protect yourself from possible litigation because of a workplace injury is to find a comprehensive Workers’ Compensation policy and maintain coverage as a responsible general contractor.
General Contractors and Stop-Work Orders in New Jersey
When general contractors fail to have Workers’ Compensation when required, they might be given stop-work orders, which can delay and disrupt their work in New Jersey.
As a consequence of non-compliance, stop-work orders are given to general contractors and other employers that do not adhere to Workers’ Compensation requirements. A stop-work order immediately puts a pause on all work until the necessary insurance is acquired. If you were recently given a stop-work order and need coverage fast, our brokers can match you with a policy and get you a quote for insurance within 24 hours. In addition to stop-work orders, general contractors might receive considerable fines if they do not have Workers’ Compensation when mandated to.
Call Our New Jersey Brokers to Get Workers’ Comp Insurance Today
General contractors can call NPN Brokers at (866) 340-9120 to learn more about how our Workers’ Compensation insurance brokers can help them.
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