What workers compensation insurance requirements do I need to be aware of as a contractor, or when hiring a contractor?
Section 3700 of the State of California Labor Code requires that anyone who is an employer must provide workers’ compensation insurance for his or her employees. You may be considered an employer if you hire someone to perform any type of work that is done for which a permit is issued. If you hire a contractor who has employees, the contractor must have workers’ compensation insurance. If your contractor has employees and does not carry workers’ compensation insurance, you may be liable for any damages as a result of injury in the performance of the work for which the permit was issued. It is highly recommended that persons hiring contractors obtain proof of workers’ compensation insurance coverage prior to the commencement of the work.
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