Pennsylvania Workers Comp Insurance

With limited exceptions, every employer in Pennsylvania with one or more employee(s) is required by law to have a valid workers' compensation policy at all times. This "no fault" insurance not only provides injured workers with medical care and partial wage replacement, but also protects the policyholders from potentially damaging lawsuits. Although most companies in Pennsylvania purchase a traditional commercial insurance policy, there are alternative methods of coverage which include licensing as a self insurer, gaining membership in a self insurance group, or obtaining coverage in the Assigned Risk Pool.

PA Workers Comp Insurance Specific Regulations

• Any company who has employees working in Pennsylvania must have coverage
• If you work for someone else you will not be covered by their insurance policy unless you are an employee. This requires independent contractors to have their own workman’s compensation insurance
• Pennsylvania offers a private insurance market, a state fund called the State Workers’ Insurance Fund and an assigned risk pool. The assigned risk pool and the State Workers’ Insurance fund often charge higher rate
• In Pennsylvania, sole proprietors, partners, or members of LLCs are excluded from coverage.
• Corporate officers are included in coverage, but have the option to opt-out
• Real estate agents or brokers who qualify as independent contractors for tax purposes and are paid on a commission-only basis are exempt from coverage requirements.