Requirements:
All Utah companies are required to buy a workers’ compensation insurance policy.
Sole Proprietors, Partners & LLC Members are excluded from a work comp policy, but may opt to include themselves on a policy.
Utah Partnerships or Sole Proprietors with no employees are not required to buy a work comp policy.
However, if they are working thru a general contractor, they or the G.C. must provide a work comp insurance certificate.
Sole Props & Partners who include themselves on a policy must use a $42,200 minimum payroll amount for calculating premium
Corporate Officers are included on a worker comp policy, but may opt to be excluded if certain conditions are fulfilled.
Corporations with no employees may elect to exclude themselves from a work comp policy, but the limit is up to 5 Corp Officers and Directors who are allowed to be excluded
Directors or officers of a corporation are considered employees and must exclude themselves from coverage through an insurance company.
Corporate Officers and LLC Members who are not included for coverage must utilize a $41,600 minimum payroll and a maximum $166,400 payroll for the purpose of calculating workers comp premium.
All Utah General Contractors must require that all subcontractors; including sole prop, partners and corp officers to carry work comp coverage. If they do not have work comp coverage then the subcontractor becomes an employee of the G.C.
Consequently, the general contractor must have a work comp insurance policy to protect all the subcontractors.