KY3: Does Your Contractor Carry Workers Comp Insurance? You Need to Know!
Staff Report 04/06/2012
On Wednesday, March 28, Contact KY3's Jay Scherder highlighted the need for consumers to do their homework when hiring a contractor. In Missouri, construction businesses are generally required to carry workers compensation insurance for the protection of employees, businesses, and consumers. Active and current workers compensation insurance is a requirement for membership in the Home Builders Association of Greater Springfield. Many non-members fail to carry the insurance that is required by Missouri law. In some cases, these contractors may knowingly be in violation of the law. But in most cases, they simply misread the requirements of the law, or were misinformed by someone else who misread the requirements.
In the video below, Scherder interviews HBA President Matt Bailey and Past President Rusty MacLachlan for the story.
For more information, see the Missouri Department of Labor's Division of Workers Compensation video: "5 Myths of Work Comp."
The HBA of Greater Springfield upholds the professionalism of the industry, helping enforce workers compensation insurance requirements by making them a requirement of membership. The HBA has worked closely with the Division of Workers Comp to better clarify, enforce, and uphold professional standards. Recent steps have included:
- In 2009 the HBA initiated meetings with local permitting jurisdictions and the Missouri Attorney General in an effort to see current Missouri Workers Compensation Law be more consistently enforced at the local and state levels.
- In late 2009 & 2010, the HBA successfully worked with the Division of Workers Compensation to re-write the state’s official “Affidavit of Exemption” and to develop asimple guidance brochure to better clarify the definition of “employee” and the penalties for falsely claiming exemption from the law (to download the brochure, click here. To see a comparison of the first page of the old and new Affidavit of Exemption form, click here. To download the full version of the new form, click here).
- In 2010 & 2011, to help educate municipal licensing officers, the HBA worked closely with Administrative Law Judge Margaret Holden to prepare and deliver a series of joint presentations to audiences of city clerks and other city and county officials, as well as construction industry audiences.
- In an effort to provide consumers with a simple way to verify their contractors’ compliance with state law, the division has now developed an on-line tool that allows anyone to verify work comp coverage. It is a valuable proof of insurance tool which could be used by contractors, company employees, government agencies and homeowners to protect themselves when working with construction related businesses. To enter the web portal for the search tool, click here.