What workers' comp does
Workers' compensation pays the medical bills and part of the lost wages when one of your employees is hurt on the job — and in exchange, it shields your business from most injury lawsuits by employees. It is the policy that gets an injured worker care fast while your company keeps working.
It is not a nice-to-have. For Florida construction, it is the law — and general contractors will ask for your certificate before your crew sets foot on site.
Who needs it in Florida
Florida requires construction employers to carry workers' comp starting with the very first employee — even part-time help. Owners who work on site are usually counted as employees too, unless they hold a valid exemption. Non-construction businesses get until four employees; construction gets no such runway. And if a GC finds a gap in your coverage, they can hold your payment or pull you off the job until it's fixed.
What it covers
- Medical care for work-related injuries and illnesses
- Partial wage replacement while an injured employee recovers
- Rehabilitation and return-to-work services
- Death benefits for an employee's family
- Your legal defense if an injured employee sues the business
What it doesn't cover
- Subcontractors' crews — every employer covers its own people (collect your subs' COIs)
- Owners who filed a valid exemption — an exempt owner is not covered by the policy
- Work performed in states not listed on your policy
- State fines and stop-work penalties for letting coverage lapse
- "Independent contractors" who are really employees — misclassification backfires at audit
How payroll and class codes set your price
Your premium is built from payroll: for every $100 your business pays out, each job classification carries its own rate based on the risk of that work. Roofing payroll costs far more per $100 than finish carpentry — and office payroll costs the least of all. Two levers matter most: classifying every crew correctly, and keeping field payroll cleanly separated from office payroll.
What moves the number
- Total payroll in each class code — and how it's split between them
- Your trades, and whether anyone works at heights or with hot work
- Your claims history — your experience modifier, or e-mod
- How much work flows to subcontractors — and whether they carry their own comp
- Safety habits: training, gear, and how quickly injured workers return
The audit — and how to sail through it
Comp is priced on estimated payroll, then trued up at the final audit. Contractors who treat the audit as a formality do four things all year: keep payroll records split by class code, keep every subcontractor's COI on file (uninsured sub payroll can be charged to you), keep owner exemptions current, and tell us when you hire, add a trade, or land a much bigger job — before the auditor finds it.
A framer steps wrong off a ladder on a Tuesday morning in Brandon. With comp in force, his ER visit, follow-up care, and part of his pay while he's out are handled by the policy — and your crew stays focused on the job instead of the bill. Without it, that one fall comes straight out of your business account, on top of state fines for the gap.
Questions contractors ask us
Do I need workers' comp if it's just me and one helper?
In Florida construction, yes — the requirement starts at the first employee. Owners can sometimes exempt themselves personally, but many GCs still require coverage or a valid exemption certificate before work starts. We check what your contracts demand before you file anything.
What actually happens at the premium audit?
The carrier compares your real payroll, split by class code, against the estimate your premium was based on. Under-estimated payroll means an additional bill; over-estimated can mean a refund. Clean records by class code make it a short meeting instead of a fight.
Are my subcontractors covered under my policy?
No. Each employer covers its own crew. If an uninsured sub is hurt on your job, the claim — and at audit, their payroll — can land on you. Collecting sub COIs before they start is the cheapest protection in this entire business.
Can I exclude myself as the owner?
Florida lets qualifying corporate officers and LLC members file an exemption. But an exempt owner isn't covered if they're the one who gets hurt, and some GCs won't accept exemptions at all. We look at your contracts first, then decide together.