Understanding Your State’s Employment Sheds Light on Its Workers Compensation Policies

States Have Workers Comp Regulations Based on Prevalent Industries

Many small business owners are confused about workers compensation requirements and costs. Not to mention how one state may have different policies and regulations in place than another.

There are a number of variables and factors to keep in mind, but one of the most telling ways to make sense of things is look at your state’s prominent industries in terms of their size, history, and number of employees. That’s because it’s quite common for states to recognize these industries with specific mandates for workers compensation insurance that are different from every other industry.

One of the best examples of this in Florida, the state where we’re based here at ACI and have well over a decade of experience. Here, it’s the agriculture business that gets called out, even with specific policies regarding seasonal employees, due to the emphasis on labor needs during harvest season for Florida’s abundance of citrus, and other fruits and produce.

In Florida, the standard for all industries is to require workers comp insurance when a business has four or more employees. In the world of agriculture though, this is shifted up to a minimum of six regular employees, or, 12 seasonal employees who are employed for at least 30 days.

Another easy example is in Tennessee, where coal mining has been a way of life for generations. In Tennessee, any business involved in coal mining must have workers compensation insurance with a minimum of one employee. Elsewhere in the state, the minimum is bumped up to five employees.

So what’s common in your state? Is it logging? Oil and gas? Ranching? Fishing? Whatever it is, don’t be surprised if it’s mentioned with specific requirements for workers comp that differ from other industries. Certainly, not every state recognizes standalone industries with different requirements or policies for workers comp. But it’s not unusual at all.

If you have any questions about finding the right workers comp insurance for your business, no matter what state you’re in and whether you’re in one of its prevalent industries or not, call us at 407.272.1976 today.

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