Among the important regulations to understand for any business located in Florida are those for Florida’s Workman Compensation Insurance. The regulations protect not only the employees should an accident in the workplace occur, but the employer to make sure not to face fines when those inspectors and investigators show up. They will show up eventually so better to make sure your business is completely covered and following all of Florida’s worker’s comp laws.
All businesses that have four or more employees whether full time or part time, are in the construction business and have one or more employees which includes the owner of the construction company. If you are in the farming industry with more than 5 regular employees and/or twelve additional seasonal workers who provide agricultural labor for thirty days or more.
Should and inspector show up and you cannot show proof of Workman’s Com coverage it can result in a penalty 1.5 times equal to the amount that should have been paid in premiums within the prior 3-year period. The fine has to be paid within 90 days.
Your business could also face and SWO or Stop-Work Order. Having to close your business is simply not worth taking the chance over. If any understatement or concealment of payroll, any misrepresentation to conceal amount of employees or other attempts to keep from paying workers comp premiums can even lead to criminal charges and higher penalties.
A business cited for not having the compensation insurance can potentially face a lien issued to collect and penalty due that hasn’t been paid which in turn can end up being turned over to a collection agency. A business’ credit rating can be seriously damaged should that action be taken.
There really is no reason why any business should not have Worker’s Compensation Insurance especially when you consider the dire consequences that can hit when investigators and inspectors show up at your place of business, and again, they will eventually show up at some point in time.
If your business contracts employees through a job agency an inspector will require a roster of those employees and they will be cross checked with the job agency. For those who are in the construction business, and you have sub-contractors you will also be required to show proof of workers comp insurance.
It’s not just about avoiding penalties though, every business that values their employees should want to make sure they are taken care should they be injured or suffer an accident on the job.
One way to show your employees they are valued is to make sure your company has Florida Workers Compensation Insurance. Besides in the long run paying the premiums on this insurance is a lot most cost effective than being fined or worse.