Workers' Comp Insurance Help

New York Workers' Comp Coverage: Who Must Have It

New York Workers' Compensation Law mandates that virtually every employer in New York State maintain workers' compensation insurance. This requirement applies regardless of the number of employees or the type of business. There are very limited exemptions, including:

• Sole proprietors with no employees (though they may opt to cover themselves)
• Partners in a partnership with no employees (each partner may opt for self-coverage)
• One or two-person corporations where the shareholders are the only employees
• Certain household employers (with separate thresholds)

For a complete analysis of coverage requirements, see our guide: New York Workers' Comp Coverage Requirements.

Getting Coverage After a Lapse: Your Options

Option 1: Reinstate Your Existing Policy

If your policy lapsed due to non-payment, contact your insurer immediately to determine if reinstatement is possible. Many insurers will reinstate a cancelled policy if past-due premiums are paid promptly, though there may be a reinstatement fee and the reinstatement may not be retroactive to the cancellation date (leaving a gap in coverage that the WCB will count as an uninsured period).

Option 2: New Policy with a Private Insurer

If your current insurer will not reinstate or you need a new carrier, obtaining a new policy from a private workers' comp insurer is typically the most straightforward path for businesses with acceptable claims histories. Coverage can often be bound within 24–72 hours.

Option 3: New York State Insurance Fund (NYSIF)

NYSIFis New York's public competitive state fund and the most important option for businesses with difficult coverage situations. Key NYSIF advantages:

• Cannot deny coverage to any eligible New York employer
• Competitive rates, especially for businesses in high-risk industries
• No minimum premium requirements in many cases
• Well-regarded by the WCB for compliance purposes
• Applications can be submitted online and coverage bound relatively quickly

Option 4: New York Assigned Risk Pool

The assigned risk pool through NCCI provides coverage for employers who cannot obtain coverage in the voluntary market. Rates are typically higher than voluntary market rates, but it is a reliable option when other markets are unavailable. Coverage is shared among participating insurers through a structured assignment process.

Form C-105.2: Proving Compliance to the WCB

Once you have obtained coverage, proving that coverage to the WCB requires a specific document: Form C-105.2(Certificate of Workers' Compensation Insurance). This form must be issued directly by your insurer — not by a broker — and must contain specific information required by the WCB. Common errors in completing this form can delay reinstatement or resolution of your penalty case.

We review all coverage documentation before submission to ensure it meets WCB requirements and avoid delays.

Coverage for Specific Situations

Construction Businesses

Construction businesses have elevated workers' comp requirements and often face challenges in obtaining affordable coverage due to the higher-risk nature of the work. NYSIF is particularly important for construction employers, and proper classification of employees under the correct NCCI codes is critical to avoid overpaying premiums.

Businesses with Prior Penalties

Having a prior WCB penalty does not necessarily disqualify you from obtaining workers' comp insurance, but it can make the process more difficult with some private insurers. We have experience helping businesses with compliance histories navigate the coverage market.

Seasonal and Part-Time Workers

Businesses with seasonal or part-time workers must still maintain coverage when those workers are active. Gaps in coverage during “off seasons” can still trigger WCB penalties if any employee performs work during that period.

After You Obtain Coverage

Getting covered is just the first step. You also need to:

• Submit proof of coverage to the WCB to stop further penalties
• Address any existing penalty balance through negotiation or appeal
• Establish systems to ensure future coverage continuity
• Set calendar reminders for policy renewal dates

We help you with all of these steps, not just the initial coverage placement. Our goal is to resolve your entire WCB situation — current penalty, SWO if applicable, and ongoing compliance — in one coordinated process.

Frequently Asked Questions