Virginia to change it's Workers Comp Rules

Don't allow your business
to be injured by the changes
to Va's Workers Comp law!

On March 7, 2014 the Virginia General Assembly approved an amendment to section 65.2-805 of the states Workers Compensation Act. Starting on July 1, 2014 the penalty for noncompliance will be more severe, with employers facing a maximum fine of $50,000.

I'm frequently asked questions about subcontracted employees, and what their impact is on a workers compensation policy. The contractual relationships between two companies, one working as a subcontractor to the other, sets up a circumstance whereby the liability for workers compensation losses sustained by a subcontracted worker extends to the general contractor. The good news for general contractors is that the Workers Compensation Act barres injured employees from bringing a civil tort against them, in most cases. The bad news; insurance carriers wish to collect premium for subcontracted employees. The insurance carriers have less access to information when rating a subcontracted employee risk, and are obliged to peg premiums to the payments made to those subcontractors.

Remember that insurance is a transfer of risk. What is often unclear for many contracting business owners is who holds the risk, in this case, the liability for an injured worker? Several court decisions have set precedents in case law, the result of which should allow contractors to manage their risk within these parameters, and protect their business assets with the appropriate insurance coverage.