When it comes to owning a business, you might have questions on what type of insurance and workers compensation you need to provide. Lucky for you, the experts at GBK Insurance can walk you through exactly what you need to make sure you and your business is covered. Many businesses use 1099 contractors such as installers, hair stylists, and photographers. Both your business and independent contractors need workers compensation.
There are two reasons why independent contractors to carry their own coverage. Many times, the company is responsible for paying workers compensation even if they are a 1099 status. If a independent contractor gets injured while on the job, many times the company is responsible for the workers compensation. Of course, this varies from state to state.
Usually by law, a company must provide workers compensation information in an audit. If a company hires a independent contractor and does not have a certificate of insurance the cost of that contractor is added to the company's policy. If the contractor provides their own workers compensation this can be avoided.
1099 Independent Contractors
In most states, you are not required to have workers comp if you have no employees. But when you bring in more 1099 workers you are now considered and employer and need to provide the proper coverage. When it comes to workers compensation and other commercial insurances, let the experts at GBK Insurance point in the right direction. GBK Insurance has been helping local Michigan based businesses for decades. In addition, we know the ins and outs of all the laws and can help you with just the right amount of coverage to cover you and your business. Give us a call today at 313.255.9350!