When an employer doesn’t have workers’ compensation insurance
Workers’ compensation is never on your mind while on the job — you signed the forms and you see the postings, but you never think about it. Until you do need. But what happens if your employer fails to acquire insurance?
Recently an owner of a roofing business was arrested for failing to pay nearly $400,000 in workers’ compensation and liability insurance premiums for his 400-plus employees. The owner had created a fake insurance company in order to avoid paying the fees and premiums. This is outrageous. As an owner of a roofing company, his employees were at risk every day and the insurance that they needed in case of an accident was not even present.
According to the NJ Department of Labor and Workforce Development, all employers in the state of New Jersey who are not covered under a federal program are required to have workers’ compensation insurance. Not only do NJ employers have to follow this law, but so do any out-of-state employers who are contracting employees in the state. But what happens if your employer does not comply to this law? Well, then your employer has committed a fourth degree crime. Not only will your employer have to pay up to $1,000 for the first 20 days and $1,000 for each 10-day period afterwards, but the court could place liens on the business and even seize the property.
If you believe your employer does not have workers’ compensation insurance, you can take the following actions:
- First, check with the New Jersey Compensation Rating & Inspection Bureau to make sure your employer does not have insurance. It may just be a case of a failure to post the information.
- Immediately notify the Office of Special Compensation Funds
- Fill out and submit a Report of Noncompliance
Have you been injured in a workplace accident and having problems getting the compensation you deserve? For more than 25 years, the Law Offices of Anthony Carbone, PC have been fighting for workers’ rights. If you have been denied your workers’ compensation claim, contact us today for a free consultation.