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New York Worker�s Compensation Law

August 7th, 2006 Posted by Lindsay

I know that most people who have held a job understand the concept of Worker’s Compensation insurance. Worker’s Compensation is a protection plan that employers pay for; if you become ill or disabled, the insurance pays you benefits so that you can get back on your feet. The worker’s compensation program in almost every state can be abused, and we realize that. Every state’s Worker’s Compensation program is different; here we will talk about New York State.

In 1914, New York created their Worker’s compensation fund to insure employers against occupational injury and disease. Later, the New York State Insurance fund was created to guarantee that worker’s compensation protection would be offered at the lowest possible cost to the employer. It is my understanding that NYSIF is the largest worker’s compensation insurance provider in the state. It is both competitive and self-supporting.

New York Worker’s Compensation covers all jobs that are done for profit. It covers public school teachers and state employees, and domestic workers who work full time (forty hours a week) for the same employer. It covers employees of county and municipal governments whose work is defined as “hazardous.” It also is available to farm workers, if their employer paid over $1200 for farm labor in the previous year. Individual business owners and partners are not necessarily covered, although they can elect to be.

The law requires that employers carry Worker’s Compensation insurance. So, if an employer chooses not to, he or she may be fined $500 for the first offense and up to $7500 for subsequent violations; a $250 assessment per claim , plus 15 percent of the award amount, plus compensation and medical costs; and a fine of $250 for every ten days of noncompliance. The worker’s compensation board can also assess for noncompliance.