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According to Entrepreneur Magazine's "Ultimate Guide to Worker's Compensation Insurance," Maryland requires Comp for all employers with 1 or more employees. If you're exempt from having to have insurance that doesn't mean you should forgo coverage. Even if you have health insurance, who will pay for that if you're seriously injured & can't work? Comp offers lifetime medical benefits due to a work related injury. Maybe you sometimes use subcontractors too, and your state may be one that says you have to provide coverage for your subs who don't have it - talk with your insurance agent first, and if you opt to take the exemption, do so legally. Also, some of your clients may require you to carry this coverage even if the state says you're exempt - you may be able to get higher pay from the General Contractor because you provide your own insurance.

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15y ago

I personally think everyone should be covered by Comp or an alternative, such as Occupational Accident or a self-insured plan. Even if you have health insurance, if you're injured on the job - even if it's in an auto accident on your way to the bank, if you're seriously injured and can't work for years, who will pay those health insurance premiums and lost wages? Comp has lifetime medical for work-related injuries. Occupational Accident is available in most states, and you can customize it for yourself and for any executives, partners or others that may be eligible to be excluded - or for any employee who opts out (rare.) It can work alone or in conjunction with Comp. Contact your state because rules & exemptions vary - but if you're exempt from having to have insurance that doesn't mean you should forgo coverage. Maybe you want lifetime medical benefits due to a work related injury - maybe you sometimes use subcontractors too - talk with your insurance agent first, and if you opt to take the exemption, do so legally. And some of your clients may require you to carry this coverage even if the state says you're exempt - you may be able to get higher pay from the General Contractor because you provide your own insurance.

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Q: In Maryland does a subcontractor need workmans compensation?
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