Launching a construction insurance company in New York is an exciting venture that can be highly rewarding given the state’s bustling construction industry. Contractors and construction companies rely on specialized insurance to protect their operations, tools, employees, and vehicles. As you build your business, offering the right mix of coverages and understanding the documentation required for obtaining quotes will set you apart as a trusted partner in this competitive market.

This article will walk you through the main insurance coverages construction businesses typically need and the information required to secure accurate and competitive quotes.

Key Insurance Coverages for Construction Companies

Providing comprehensive insurance solutions tailored to construction clients is crucial. Here are the essential coverages your business should offer:

1. Tools and Equipment Insurance

Construction companies rely heavily on tools and equipment to complete their projects. This coverage protects items like drills, saws, and heavy machinery from theft, damage, or loss, whether on the job site, in transit, or in storage.

2. General Liability Insurance

A cornerstone of any contractor’s insurance program, general liability insurance protects against third-party claims of bodily injury, property damage, and personal or advertising injury. It’s often required for obtaining permits, signing contracts, and bidding on jobs.

3. Umbrella Liability Insurance

Umbrella liability insurance provides an extra layer of protection by extending the limits of underlying policies like general liability, auto liability, and workers’ compensation employer’s liability. This is especially important for construction companies working on large or high-risk projects.

4. Business Auto Insurance

Construction companies frequently use vehicles to transport tools, equipment, and materials. Business auto insurance provides coverage for liability and physical damage to vehicles used for business purposes, ensuring they’re protected on and off the job site.

5. Workers’ Compensation Insurance

Mandatory in New York, this coverage provides benefits to employees who suffer work-related injuries or illnesses. It also protects employers from lawsuits related to workplace injuries. Workers’ compensation is a legal requirement and a critical safeguard for both employees and employers.

6. New York State Disability Insurance

New York requires employers to provide disability benefits coverage to eligible employees for off-the-job injuries or illnesses. This coverage complements workers’ compensation and ensures compliance with state laws.

Information Needed to Obtain Insurance Quotes

To provide contractors with accurate and competitive insurance quotes, you’ll need to gather specific information. Here’s a detailed checklist of the required documents and details:

1. Completed Contractor Questionnaire

The contractor questionnaire is a foundational document that gives underwriters a snapshot of the company’s operations. It typically includes:

• Business name, address, and contact information.

• Number of employees.

• Years in business.

• Projected annual revenue and payroll.

• Types of construction work performed.

2. Detailed Description of Work

Insurers require a comprehensive description of the contractor’s work. This should include:

• Specific services offered (e.g., roofing, plumbing, electrical).

• Types of structures worked on (e.g., residential, commercial, industrial).

• Scope of subcontracted work.

Be as specific as possible. Avoid vague descriptions like “we do everything” as these can lead to delays or inaccuracies in the quoting process.

3. Resumes on Owners

The experience and qualifications of the company’s leadership team are critical for underwriters. Owners should provide resumes detailing:

• Industry experience.

• Certifications or licenses held.

• Notable projects completed in the past.

If owners struggle with creating or updating their resumes, BGES Group can provide guidance and assistance to ensure the information is professional and complete.

4. Subcontractor Insurance and Hold Harmless Agreement

If a contractor plans to subcontract any portion of their work, they must provide a subcontractor insurance and hold harmless agreement. This document ensures that subcontractors maintain proper insurance and indemnify the contractor against claims arising from their work.

For contractors who don’t already have this document, BGES Group can help you create an agreement that meets industry standards.

5. Workers’ Compensation Questionnaire

This questionnaire captures key details about the company’s employees and work environment, including:

• Job classifications and duties.

• Number of employees.

• History of workplace injuries or claims.

Providing accurate information ensures that premiums are calculated correctly and reflect the company’s true risk exposure.

6. Written Safety Manual Table of Contents

A safety manual demonstrates a company’s commitment to maintaining a safe work environment. Insurers may request the table of contents to ensure it includes critical safety protocols, such as:

• Job site safety practices.

• Equipment handling procedures.

• Emergency response plans.

If a contractor does not have a written safety manual, BGES Group can help you develop one for your operations.

How BGES Group Can Help

Starting a construction insurance company comes with challenges, especially when it comes to gathering the necessary documentation and understanding industry-specific requirements. That’s where BGES Group comes in.

Why Choose BGES Group?

• Expertise in Construction Insurance: With years of experience, BGES Group specializes in insuring New York contractors and understands the unique risks they face.

• Comprehensive Support: From helping contractors compile required documents to guiding them through the quoting process, BGES Group offers end-to-end assistance.

• Tailored Solutions: They work with contractors to develop customized insurance programs that provide the coverage they need at competitive prices.

Contact Information

Ready to simplify the quoting process and provide contractors with the protection they need? Reach out to BGES Group today:

• Website: bgesgroup.com

• Phone: 914-806-5853 – Gary Wallach

• Email: bgesgroup@gmail.com

Conclusion

Starting a construction insurance company in New York requires a thorough understanding of the coverages contractors need and the information required to secure accurate quotes. By offering essential policies like tools and equipment insurance, general liability, and workers’ compensation, and by helping clients navigate the documentation process, you can position your company as a trusted partner in the construction industry.

With the support of experts like BGES Group, you can ensure your clients are well-protected while simplifying the often-complicated insurance process. For more information or assistance, contact BGES Group today and take the first step toward building a successful insurance company that meets the needs of New York’s thriving construction sector.

For New York contractors, the annual policy renewal process is a critical time to reassess your insurance needs and ensure you’re getting competitive rates with the right coverage. To make this process as smooth and effective as possible, organizing your paperwork is essential. Well-prepared documentation helps insurance agents shop around and negotiate the best terms on your behalf. Here are eight steps to organizing your paperwork, followed by how BGES Group can assist you if you’re unhappy with your current insurance pricing, coverage, or agent.

8 Steps to Organize Your Paperwork for Insurance Renewals

1. Have Copies of Your Policies in PDF Format

Collect digital copies of all your current insurance policies, including general liability, workers’ compensation, umbrella liability, auto insurance, and any additional coverages. Having these in PDF format ensures your agent can quickly review your existing coverage and compare it with new quotes. Include declarations pages, endorsements, and any exclusions.

2. Complete a Supplemental Contractor Questionnaire

Many insurance carriers require contractors to fill out a supplemental questionnaire that provides details about your operations. Complete this document thoroughly, as it helps carriers assess your risk and offer accurate pricing. Ensure all answers are current and align with your business practices.

3. Provide a Detailed Description of Your Work

On a separate sheet, create a detailed description of the services your business provides. Be specific and honest about the types of work you perform. Avoid making it sound like you “do everything” or handle jobs outside your expertise. For example, instead of stating “general construction,” mention specifics like “residential kitchen remodels” or “commercial roofing installations.” This level of detail helps carriers tailor coverage to your needs.

4. Obtain 5-Year, Currently Valued Loss Runs on All Policies

Request loss run reports for the past five years from your current insurance carriers. These reports detail any claims made against your policies and their outcomes. Insurance companies use loss runs to assess your risk profile and calculate premiums. Make sure the reports are current (within 90 days of renewal) to avoid delays.

5. Include Subcontractor Agreements and Certificates of Insurance

If you use subcontractors, provide a copy of your subcontractor insurance and hold harmless agreement. Additionally, include certificates of insurance (COIs) from one or two subcontractors. These documents demonstrate how you manage subcontractor risks, which can positively influence your premiums.

6. Provide a Copy of Your Safety Manual’s Table of Contents

If your company has a written safety manual, include a copy of its table of contents. This demonstrates to insurers that you have a structured approach to safety and risk management, which can lead to premium discounts. If you don’t have a safety manual, consider creating one, as it signals your commitment to reducing workplace risks.

7. Include Resumes for Owners (For New Companies)

If your company is newly established, provide resumes for the owners or key personnel. Highlight their relevant experience in the construction industry, certifications, and achievements. This helps insurers assess the competence and reliability of your leadership, which can positively impact your premiums.

8. Put Together a Work-On-Hand Schedule

Create a schedule of ongoing projects, including details like project names, locations, start and end dates, and contract values. A work-on-hand schedule gives insurers a snapshot of your current risk exposure and helps them provide accurate quotes.

Additional Tips for a Successful Renewal Process

• Start Early: Begin gathering your documents and shopping for quotes 60–90 days before your policy expires. This ensures you have time to address any gaps or issues.

• Be Transparent: Provide accurate and complete information to avoid mispricing or delays in obtaining coverage.

• Partner With an Expert: Work with a broker who specializes in construction insurance. They’ll have the expertise and relationships to secure better pricing and tailored coverage.

Why BGES Group Is the Best Choice for New York Contractors

BGES Group is one of New York’s premier construction insurance specialists. They understand the unique challenges contractors face, including strict labor laws, action-over claims, and the complexities of subcontractor agreements. Whether you’re seeking better pricing, improved coverage, or an agent who truly understands your business, BGES Group is here to help.

What Makes BGES Group Different?

1. Construction Expertise

BGES Group specializes in construction insurance, tailoring policies to meet the specific needs of contractors in New York.

2. Comprehensive Coverage Options

From general liability and workers’ compensation to umbrella liability and labor law coverage, BGES Group ensures you have the protection you need to operate with confidence.

3. Competitive Pricing

BGES Group has strong relationships with top insurance carriers, allowing them to negotiate competitive premiums, even for higher-risk contractors.

4. Personalized Service

The BGES team takes a boutique-like approach, treating each client as a priority and providing customized insurance solutions.

5. Proven Results

BGES Group’s success is reflected in their long-term client relationships and numerous positive reviews. Contractors trust them to deliver the best coverage at the best price.

6. Expert Leadership

Led by veteran insurance professional Gary Wallach, BGES Group combines decades of experience with a client-first approach.

Not Happy With Your Current Pricing, Coverage, or Agent? Try BGES Group

If you’re dissatisfied with your current insurance pricing, coverage, or agent, it’s time to consider BGES Group. They’ll guide you through the renewal process, shop for competitive quotes, and provide the expertise you need to protect your business.

Contact BGES Group Today

• Phone: 914-806-5853

• Email: bgesgroup@gmail.com

• Website: www.bgesgroup.com

Don’t let another renewal season pass without exploring better options for your insurance needs. With BGES Group, you can secure competitive premiums and the right coverage, all with personalized service that sets them apart. Contact them today to get started!

New York contractors face mounting challenges with escalating liability insurance renewal premiums. For 2025, the situation is no different. Rising costs are squeezing profit margins and threatening the survival of many businesses. It’s no surprise that contractors are searching for creative ways to stay afloat while maintaining the coverage they need to operate safely and legally.

Sometimes, you have to look at other ways to “skin a cat.” One underutilized yet highly effective method for offsetting these rising costs is through workers’ compensation premium recovery. This strategy has helped contractors recoup tens or even hundreds of thousands of dollars in refunds from past workers’ compensation policies. If you’ve been paying premiums for the last seven years, there’s a good chance errors or overcharges have been made—and this is where you can find relief.

Workers’ Compensation Premium Recovery: A Smart Solution

Workers’ compensation insurance is essential for protecting your business and your employees, but it’s also one of your largest expenses. Insurance companies, while vital, often make errors in calculating premiums, classifying employees, and applying experience modifiers. These errors can cost contractors significant amounts of money—money that you have the right to recover.

The good news is that workers’ compensation premium recovery can help you get this money back. Here’s how it works:

1. We review your past seven years of workers’ compensation policies.

2. Our team looks for errors, overcharges, or miscalculations made by your insurance company.

3. If we find recoverable money, we handle the entire refund process on your behalf.

4. If there’s no refund, you pay nothing—it’s a contingency fee basis, so there’s no risk to you.

5 Benefits of Workers’ Compensation Premium Recovery

1. Potential for Substantial Refunds

Insurance companies are not infallible. Mistakes can be made in payroll audits, employee classifications, and even how discounts or surcharges are applied. Recovering these funds could mean tens, or even hundreds, of thousands of dollars back in your pocket.

2. No Upfront Costs

The contingency fee model means you pay nothing unless we find recoverable funds. This makes the process risk-free, as you’re only paying a percentage of what’s actually recovered.

3. Minimal Effort on Your Part

We handle the heavy lifting. From reviewing past policies to negotiating with insurance carriers and ensuring your refunds are processed, you won’t have to take time away from running your business.

4. Improved Financial Health

Refunds from premium recovery can be reinvested into your business—whether it’s upgrading equipment, hiring more employees, or simply cushioning your bottom line.

5. Insight into Future Savings

In addition to recovering past premiums, the process can uncover systemic errors or inefficiencies in your workers’ compensation program, helping you save money in the future.

Why Errors Happen

It’s not uncommon for insurance companies to make mistakes, especially in a high-pressure, high-volume industry like construction insurance. Here are some common issues that lead to overcharges:

• Incorrect Employee Classification: Workers may be classified under higher-risk categories than necessary, leading to inflated premiums.

• Inaccurate Payroll Reporting: Errors in payroll audits can result in you being charged more than you owe.

• Improper Application of Discounts or Credits: Insurance carriers may fail to apply discounts you’re entitled to, such as safety or drug-free workplace credits.

• Experience Modifier Mistakes: Your experience modification rate (EMR) is a critical factor in calculating premiums. Errors in its calculation can significantly increase costs.

These are just a few examples of how errors can creep into your premiums—and why it’s worth having an expert review your policies.

Why Work with BGES Group?

At BGES Group, we specialize in New York construction insurance. We understand the unique challenges contractors face, including navigating labor laws, managing subcontractor liability, and controlling insurance costs.

Our team has extensive experience in workers’ compensation premium recovery, and we’ve helped many contractors recover significant refunds. Here’s why you should work with us:

• Expertise in Construction Insurance: We know the ins and outs of New York’s complex insurance landscape, making us uniquely qualified to spot errors and recover your funds.

• Personalized Service: Unlike large, impersonal agencies, we provide boutique-style service tailored to your needs.

• No-Risk Approach: With our contingency fee model, you have nothing to lose and everything to gain.

What’s Next?

If you’re feeling the pinch of rising liability premiums, now is the time to act. Workers’ compensation premium recovery is a proven way to offset costs, improve your cash flow, and strengthen your business.

To get started, contact Gary Wallach at BGES Group today. We’ll review your past workers’ compensation policies, handle the entire process, and help you get back the money you deserve.

Contact Information:

• Phone: 914-806-5853

• Email: bgesgroup@gmail.com

• Website: www.bgesgroup.com

Final Thoughts

Navigating the rising costs of liability insurance is no small feat, but solutions like workers’ compensation premium recovery can make a significant difference. By recovering money from past policies, you can ease the burden of increasing premiums and reinvest in your business.

Don’t wait for costs to climb higher—take action today. Let BGES Group help you uncover savings, recover refunds, and secure the financial stability you need to thrive in 2025 and beyond.

For business owners in the Tri-State area (New York, New Jersey, and Connecticut), annual workers’ compensation insurance audits can be a source of stress and frustration. These audits, conducted by insurance companies to verify payroll, job classifications, and other details, often lead to unexpected bills or disputes. Fortunately, there’s a solution: partnering with a Professional Employer Organization (PEO) can help you avoid or significantly reduce the headaches associated with these audits.

In this article, we’ll discuss five ways a PEO can help mitigate workers’ compensation insurance audits. We’ll also explain how BGES Group offers tailored programs for business owners, particularly contractors, to simplify their insurance needs and minimize the impact of audits.

The Challenges of Annual Workers’ Compensation Audits

Workers’ compensation insurance audits are mandatory for most businesses. They ensure that premiums accurately reflect actual payrolls and employee classifications. However, these audits can be challenging for several reasons:

1. Surprise Costs: If your payroll increased during the year or if employees were misclassified, you could be hit with a large retroactive bill.

2. Time-Consuming Process: Gathering payroll records, contracts, and other documentation can disrupt your operations.

3. Errors and Disputes: Mistakes in reporting or misunderstandings about employee roles can lead to prolonged disputes with your insurer.

4. Cash Flow Issues: A large audit bill can strain your cash flow, particularly for small businesses.

How Partnering with a PEO Can Help

A PEO is a company that provides comprehensive HR services, including payroll processing, benefits administration, and workers’ compensation insurance. Here are five reasons why having your workers’ compensation insurance through a PEO can help you mitigate or even eliminate annual audits:

1. Simplified Payroll Integration

PEOs handle your payroll and integrate it directly with workers’ compensation insurance. Since payroll is reported in real time, there’s no need for an end-of-year reconciliation or audit. This eliminates surprises and ensures that premiums are always accurate.

2. Elimination of Manual Reporting Errors

A PEO’s automated systems reduce the risk of errors in employee classification or payroll reporting. Proper classification and accurate data entry are crucial to avoiding costly audit discrepancies.

3. Pay-As-You-Go Workers’ Compensation

With a PEO, you typically pay workers’ compensation premiums on a “pay-as-you-go” basis. Premiums are calculated based on actual payroll figures each pay period, reducing the risk of overpayment or underpayment.

4. Expert Management of Employee Classifications

PEOs have experts who understand the complexities of workers’ compensation classifications. They ensure that your employees are classified correctly, minimizing disputes with insurance carriers during audits.

5. Reduction of Administrative Burdens

By partnering with a PEO, you transfer the responsibility of handling workers’ compensation audits to professionals. The PEO deals with the insurance carrier, allowing you to focus on running your business instead of dealing with audit paperwork and disputes.

How BGES Group Can Help Tri-State Business Owners

At BGES Group, we understand the challenges that business owners face with workers’ compensation insurance audits. That’s why we’ve developed tailored solutions to help businesses in the Tri-State area streamline their insurance needs and avoid the stress of audits.

1. Specialized Programs for Contractors

BGES Group offers several programs designed specifically for contractors, who often face unique challenges with workers’ compensation audits. Our programs ensure accurate employee classification, proper coverage, and competitive pricing to help contractors avoid audit-related surprises.

2. Nationwide Coverage (We Work With a Partner Who Can Service Nationwide)

While we specialize in serving businesses in New York, New Jersey, and Connecticut, we also offer programs for businesses nationwide. This flexibility allows us to provide expert assistance no matter where your operations are located.

3. Comprehensive Payroll and Insurance Packages

For businesses looking to simplify their operations, we offer packages that combine payroll services with workers’ compensation insurance. These programs often function like a PEO, with real-time payroll integration to eliminate the need for audits.

4. Expertise in Workers’ Compensation Audits

At BGES Group, we’re not just insurance brokers—we’re audit specialists. Our team has extensive experience helping businesses navigate the complexities of workers’ compensation audits. We’ll work with you to ensure compliance, minimize your audit exposure, and address any issues that arise.

5. Personalized Service

As a boutique insurance agency, BGES Group provides personalized service tailored to your unique needs. Our founder, Gary Wallach, has decades of experience in the industry and takes pride in helping business owners find the best coverage at competitive rates.

Why Choose BGES Group?

BGES Group is a trusted partner for Tri-State business owners seeking to simplify their workers’ compensation insurance and reduce audit-related stress. Here’s why businesses turn to us:

• Industry Expertise: We specialize in workers’ compensation insurance for all industries, including contractors, auto services, manufacturers, moving and storage agents, limousine services, and truckers.

• Tailored Solutions: We offer customized insurance programs that address your specific challenges.

• Transparent Pricing: Our programs are designed to eliminate surprises, with straightforward pricing and no hidden fees.

• Proven Results: Many of our clients have successfully avoided audit-related headaches thanks to our expert guidance and innovative solutions.

Get Started with BGES Group Today

If you’re a Tri-State business owner looking to escape the annual workers’ compensation insurance audit cycle, BGES Group can help. Our tailored programs, personalized service, and expertise in audit mitigation make us the ideal partner for your business.

Contact Information

To learn more about how we can help your business, contact Gary Wallach at BGES Group:

• Phone: 914-806-5853

• Email: bgesgroup@gmail.com

• Website: www.bgesgroup.com

Don’t let annual audits disrupt your operations or drain your resources. Partner with BGES Group today and take the first step toward stress-free workers’ compensation insurance.

When running your construction operation, one of the biggest challenges is preventing subcontractors’ and suppliers’ safety practices from interfering with your own safety program.

While you may consider a number of factors when vetting a new subcontractor or vendor, one area that is often overlooked is their workplace safety practices. This is a mistake and can cost you dearly if one of their workers causes an incident at your worksite.

Not only could you see one of your own employees injured, but you could also get a visit from an OSHA inspector.

The National Safety Council’s Campbell Institute recently conducted a study of organizations with excellent safety records to identify the best practices for contractor and vendor safety.

As part of the study, it identified five steps during a contractor or vendor relationship when it’s incumbent on a hiring company to evaluate the workplace safety habits of its business partners. 

Prequalification

The institute recommends looking at more than just a company’s experience modification rate. It says safety-minded firms assess contractors in multiple areas, such as their total recordable incident rate, fatality rate, days away from work for injured workers, restricted or transferred rate, and other OSHA recordables for the last three years.

Many firms also ask for environmental reports, written safety programs, permits, licenses and continuous improvement programs.

Pre-job task and risk assessment

Before a contractor begins work, institute members recommend having a method for evaluating the risk of the work to be performed. Doing this can help you understand the scope of the work and give you a chance to put into place a new written safety program if the risk is deemed high.

Most importantly, you should require contractors to adhere to the same safety standards as you do.

Training and orientation

You should require safety orientation and skills training for subs before they step onto your job site.

Also, if they are doing highly specific work, you should ensure they have any required permits or special training. Some of the jobs that fit into that category are confined-space entry, electrical work, hot work, energy control, forklifts and elevated work.

Job monitoring

Many safety-minded companies monitor work with daily checklists, pre-shift tailgate or safety meetings and weekly walk-through inspections.

Some of the companies surveyed for the study also require contract employees to submit a certain amount of safety observations and utilize mobile applications to report non-compliance or unsafe conditions.

Keep up-to-date incident logs, as this is crucial to monitoring subcontractor safety during a project.

Post-job evaluation

Conduct a post-job evaluation. During this phase look at safety, customer service and the quality of the finished work, and use those factors in determining the subcontractor’s eligibility for future contracts.

BGES Group is one of New York, New Jersey, and Connecticut’s Construction Insurance Specialists representing 50+ companies, including all the BEST general & umbrella liability programs. We offer all the coverage needed, including property, builders’ risk, inland marine, general liability, umbrella liability, auto, bid & performance bonds, workers’ compensation, N.Y.S. disability, and group health.  Our commitment to you goes beyond the policies we provide. We are always just a call, text, or email away, ready to assist you, even on weekends. We understand the importance of your business and are here to help you navigate any insurance challenges.

BGES Group are Workers’ Compensation Insurance Specialists for Tri-State Business Owners: Unhappy with your rates, company, being canceled, losses causing difficulty getting coverage, in the middle of an audit dispute, misclassified payrolls, or whatever your issue. We can help!  We have special programs for Auto Services, Contractors (especially in New York), Limousine Services, Logistics Companies, Manufacturers, Recyclers, and Truckers; we can help ANY tri-state business owner. We are considered “Preferred Agents” for this one program that, if we can get you into, their pricing is excellent, offers long-term coverage stability, and can cover multi-state operations. The program takes the hassle out of doing annual audits, too. 

If you want to speak with us, call Gary Wallach at 914-806-5853, click here to email, or visit our website.

Company: BGES Group, 216A Larchmont Acres West, Larchmont, NY 10538

email: bgesgroup@gmail.com

website: http://www.bgesgroup.com

© – Copyright – 2024 – BGES Group

While wage and hour lawsuits filed against employers around the country declined between 2022 and 2023, there were still nearly 6,000 complaint filings under the federal Fair Labor Standards Act.

These types of complaints are the most common employee actions against employers and they typically cover failure to pay workers for hours worked, overtime infractions or requiring them to work during their lunch period.

With the onset of remote work and mobile devices, the chances of an employee working off the clock have increased substantially.

For example, if a manager texts a non-exempt employee while they are home and during non-working hours and asks them to send a client an e-mail, they are essentially requiring the employee to work unpaid.

If your require or allow your staff to work off the clock, the employee must be compensated for all of that time. This means that even if you did not ask the employee to work, you may still be required to compensate them, as long as:

• You know or have reason to believe that the employee is continuing to work, and
• You are benefiting from the work being done.  

This is true regardless of where the work is performed at in the office or at home, for example.  

Nine steps to protect your business

To protect your business from being sued for wage and hour infractions:

1. Calculate overtime correctly. In some cases, an employee is paid by salary or piecework, and may receive bonuses and commissions. All of these are factors that must be considered in correctly calculating overtime pay.
2. Keep detailed records of everything related to wages and hours.
3. Do not allow non-exempt employees to remotely access their work e-mail account.
4. If you give an employee access to their work e-mail at home, ensure that they are paid for their time in reviewing and responding to e-mails when not at work.
5. Educate managers about text messaging or e-mailing non-exempt employees when they are off the clock. Conversely, tell non-exempt staff avoid answering text messages or e-mails about work when they are off the clock.
6. Do not allow employees to take lunch at their assigned work area. If a worker answers a phone call or writes an e-mail during a lunch break (even if they weren’t not ordered to do so), they may be entitled to payment for time worked.
7. If an employee is asked to stay after their scheduled end time to finish up a project, they need to remain on the clock and paid for that time.
8. If a supervisor knows that a worker is staying late to finish a project, that time is compensable, even if the supervisor never asked them to stay late.
9. Have in place a written policy that bars unauthorized work or unauthorized overtime. Ensure that your employee handbooks and wage and hour policies and procedures are up-to-date and compliant.

Insurance

If an employee is successful in an FLSA claim, they may recover twice the amount of their unpaid wages, plus a mandatory award of attorney fees, which often far exceed the amount of any unpaid wages.

Many employers purchase employment practices liability insurance to help cover the costs of employee lawsuits, but policies typically exclude coverage for wage and hour claims.

However, there are some insurers that will provide a wage and hour defense-cost-only sublimit on the EPL policy.

There are some specialized insurance policies that are sold by offshore companies that will cover wage and hour infractions, the costs of litigation and awards. However, they are uncommon.

In light of the scarcity of coverage, it’s important that you have in place strong policies to deter employees from working unauthorized overtime.

BGES Group is one of New York, New Jersey, and Connecticut’s Construction Insurance Specialists representing 50+ companies, including all the BEST general & umbrella liability programs. We offer all the coverage needed, including property, builders’ risk, inland marine, general liability, umbrella liability, auto, bid & performance bonds, workers’ compensation, N.Y.S. disability, and group health.  Our commitment to you goes beyond the policies we provide. We are always just a call, text, or email away, ready to assist you, even on weekends. We understand the importance of your business and are here to help you navigate any insurance challenges.

BGES Group are Workers’ Compensation Insurance Specialists for Tri-State Business Owners: Unhappy with your rates, company, being canceled, losses causing difficulty getting coverage, in the middle of an audit dispute, misclassified payrolls, or whatever your issue. We can help!  We have special programs for Auto Services, Contractors (especially in New York), Limousine Services, Logistics Companies, Manufacturers, Recyclers, and Truckers; we can help ANY tri-state business owner. We are considered “Preferred Agents” for this one program that, if we can get you into, their pricing is excellent, offers long-term coverage stability, and can cover multi-state operations. The program takes the hassle out of doing annual audits, too. 

If you want to speak with us, call Gary Wallach at 914-806-5853, click here to email, or visit our website.

Company: BGES Group, 216A Larchmont Acres West, Larchmont, NY 10538

email: bgesgroup@gmail.com

website: http://www.bgesgroup.com

© – Copyright – 2024 – BGES Group

For Tri-State business owners, it’s common to send workers out of state for jobs, whether for days, weeks, or even longer. However, many employers don’t realize that if their workers’ compensation insurance policy only covers their home state, they could face uncovered financial obligations when an out-of-state worker gets injured. This oversight can lead to costly claims, legal disputes, and potential penalties. Here’s why this is a significant issue and what you can do to protect your business.

The Problem with Single-State Workers’ Compensation Policies

If you have a workers’ compensation policy that covers only your home state, it may not provide coverage for employees working out of state. This gap in coverage could leave your business financially vulnerable if an employee suffers an injury in another state.

Workers’ compensation laws and benefits vary significantly from state to state. For example:

1. Medical Reimbursement Schedules

• States like New York and New Jersey have different medical fee schedules that determine how much healthcare providers can charge for treating injured workers.

• If an employee is injured in a state with higher reimbursement rates, and your policy doesn’t include that state, your company might have to pay the difference out of pocket.

2. Loss of Wage Benefits

• Wage replacement benefits for injured workers differ by state. For instance, New York calculates wage replacement based on two-thirds of the average weekly wage, capped at $1,145.43 per week (as of 2025).

• New Jersey, on the other hand, has different wage caps and calculations, which could result in higher costs for your business if coverage isn’t in place.

Without proper coverage, you may also be subject to lawsuits or penalties for failing to comply with the workers’ compensation requirements of the state where the injury occurred.

How Out-of-State Work Creates Coverage Gaps

Many businesses mistakenly believe their workers’ compensation policy automatically extends to other states. While some policies include “Other States Coverage,” this coverage typically applies only to incidental, short-term work in other states.

If you regularly send employees out of state for extended periods, the insurer may require specific endorsements to cover those states. Failing to update your policy to include these endorsements can lead to:

• Uncovered medical expenses for the injured employee.

• Fines and penalties for non-compliance with the workers’ compensation laws in the state where the injury occurred.

• Lawsuits from injured employees seeking compensation for medical bills and lost wages.

How to Address the Problem

To ensure your business is fully protected, follow these steps:

1. Review Your Current Workers’ Compensation Policy

• Check if your policy includes “Other States Coverage” or if it is restricted to your home state.

• Verify whether the states your employees work in are listed in your policy.

2. Add Specific Endorsements

• Work with an insurance expert to add endorsements for the states where your employees frequently work. This ensures compliance with those states’ workers’ compensation laws.

3. Understand the Laws of Each State

• Familiarize yourself with the workers’ compensation requirements of states like New York, New Jersey, and Connecticut.

• Pay attention to differences in medical fee schedules, wage replacement benefits, and other regulatory nuances.

4. Ensure Multi-State Coverage

• If your business frequently operates in multiple states, consider a multi-state workers’ compensation policy. This type of policy is specifically designed to provide seamless coverage for employees working across state lines.

5. Work with a Workers’ Compensation Specialist

• Partner with a specialist who understands the complexities of workers’ compensation insurance. They can help you assess your risks, tailor your policy, and ensure you remain compliant with all applicable laws.

Why BGES Group is the Right Choice for Tri-State Businesses

At BGES Group, we understand that managing workers’ compensation insurance for multi-state operations can be overwhelming. That’s why we specialize in helping New York, New Jersey, and Connecticut businesses secure comprehensive coverage that protects them from unnecessary risks.

When you work with BGES Group, you’ll benefit from:

• Expert Guidance: Our team has decades of experience in workers’ compensation insurance, ensuring your policy is tailored to your business needs.

• Compliance Assurance: We stay up-to-date on state-specific workers’ compensation laws and ensure your policy complies with all regulations.

• Cost-Effective Solutions: We’ll help you find competitive rates without compromising on coverage quality.

• Personalized Service: As a boutique agency, we offer hands-on support to address your unique concerns and challenges.

Don’t Risk Your Business’s Future

If you send employees out of state without proper workers’ compensation coverage, you’re leaving your business exposed to significant financial and legal risks. Taking the steps outlined above will protect your employees, keep you compliant with state laws, and shield your company from unexpected costs.

At BGES Group, we’re here to help you navigate the complexities of workers’ compensation insurance and find the best solutions for your business. Whether you’re a contractor, manufacturer, or operate in any other industry, our team has the expertise to ensure your business is fully protected.

Contact BGES Group Today

Don’t leave your business exposed to uncovered claims. Contact Gary Wallach at BGES Group for a free consultation.

• Phone: 914-806-5853

• Email: bgesgroup@gmail.com

• Website: www.bgesgroup.com

We’re the workers’ compensation insurance specialists you can trust to protect your business, employees, and bottom line.

Workers’ compensation insurance is a crucial requirement for New York contractors. It provides coverage for employees in case of work-related injuries or illnesses and protects employers from costly liability claims. However, one of the key factors influencing your workers’ compensation premiums is the accurate classification of payroll according to trade-specific codes. The New York Compensation Insurance Rating Board (NYCIRB) establishes these rules, which determine the rates contractors pay for workers’ compensation insurance.

This article explains how payroll classifications work, strategies for splitting payroll among various classification codes, and tips for small contractors to save on premiums while remaining compliant. We’ll also highlight how BGES Group, experts in workers’ compensation insurance for New York contractors, can help you navigate this complex process.

What Are Workers’ Compensation Payroll Classifications?

In New York, the NYCIRB assigns classification codes to specific types of work performed by employees. Each classification code has a corresponding rate based on the risk level of the job. For example:

• Carpentry (5403) typically has higher rates due to the inherent risks of working with tools and at heights.

• Painting (5474) may have slightly lower rates depending on the scope of work.

• Tile Installation (5348) might be even less expensive due to the relatively lower risk of injury.

Contractors must categorize payroll correctly to ensure they are paying the appropriate rate for each type of work performed. Misclassification can result in audits, fines, or higher premiums, especially if all payroll is lumped into the highest-rated classification.

How to Split Payroll Among Classification Codes

For contractors performing various trades, splitting payroll into appropriate classification codes is essential to avoid overpaying on premiums. The NYCIRB allows payroll splitting under specific conditions:

1. Accurate Records: Contractors must maintain detailed records showing the time employees spend on each type of work.

2. Job-Specific Allocation: Employees’ payroll can be divided among different classification codes if the records clearly indicate the time spent on each trade.

3. Audit Preparation: Payroll records must be clear and verifiable during audits to ensure proper classification.

Examples of Payroll Splitting for Multi-Trade Contractors

Here are three examples of how a contractor performing multiple trades can split payroll to optimize workers’ compensation premiums:

Example 1: General Contractor Doing Carpentry, Painting, and Tile Work

A contractor employs three workers who perform carpentry, painting, and tile installation on a renovation project.

• Worker A (Carpentry): Spends 50% of their time on carpentry tasks (5403) and 50% on painting tasks (5474).

• Worker B (Painting): Spends 70% of their time painting (5474) and 30% on tile work (5348).

• Worker C (Tile Work): Works exclusively on tile installation (5348).

To split payroll effectively:

• Track hours daily for each task using timesheets or job-costing software.

• Assign payroll based on the time spent in each trade.

By doing this, payroll is allocated to the appropriate classification codes, ensuring that not all wages are categorized under the higher-risk, higher-cost carpentry code.

Example 2: Small Contractor Managing Different Projects

A small contractor handles projects with varying scopes, such as remodeling (carpentry-heavy), interior painting, and bathroom tiling. They employ one worker for all trades.

• Week 1: Worker spends 40 hours on carpentry (5403).

• Week 2: Worker spends 20 hours on painting (5474) and 20 hours on tile work (5348).

To allocate payroll:

• Record hours worked per task per week.

• Apply the appropriate classification codes to each type of work.

This strategy prevents all payroll from being classified under carpentry, which has the highest rate.

Example 3: Subcontractor Hired for Specialized Tasks

A subcontractor provides services for tile installation and painting.

• The subcontractor’s payroll should be split based on the scope of work in their contract.

• Accurate documentation, such as invoices detailing work performed, can justify payroll allocation.

How Small Contractors Can Split Payroll in Their Books

Splitting payroll effectively requires a disciplined approach to recordkeeping. Here are some practical tips:

1. Use Job-Costing Software: Platforms like QuickBooks or other construction-specific software allow you to allocate payroll based on tasks performed.

2. Maintain Daily Timesheets: Ensure workers log their hours daily, detailing the type of work they performed.

3. Communicate with Your Insurance Carrier: Work with your insurance provider to understand classification rules and ensure compliance.

4. Review Classification Codes Annually: Payroll classifications may need adjustments based on changes in the scope of work.

By following these steps, small contractors can avoid overpaying for workers’ compensation insurance and stay audit-ready.

Why Choose BGES Group for Workers’ Compensation Insurance?

Navigating the complexities of workers’ compensation insurance payroll classifications can be overwhelming. That’s where BGES Group comes in. We are specialists in workers’ compensation insurance for New York contractors, providing personalized solutions to ensure you’re paying the right amount without compromising coverage.

Here’s why contractors trust us:

• Expert Guidance: We help you understand and apply the correct classification codes for your business.

• Audit Preparation: Our team ensures your payroll records are accurate and compliant with NYCIRB rules.

• Tailored Policies: We customize workers’ compensation insurance plans to fit your business needs.

If you need help obtaining new coverage or have questions about workers’ compensation insurance, contact BGES Group today.

Contact Information

BGES Group is your go-to partner for workers’ compensation insurance solutions. Call or email us today to learn how we can help your business.

• Gary Wallach

• Phone: 914-806-5853

• Email: bgesgroup@gmail.com

Optimize Your Workers’ Compensation Insurance with BGES Group

Don’t let misclassified payroll inflate your workers’ compensation premiums. With proper recordkeeping and expert advice from BGES Group, you can reduce costs while maintaining compliance. Whether you’re a general contractor, subcontractor, or small business owner, our team is here to provide the support and expertise you need.

For affordable and customized workers’ compensation insurance for New York contractors, contact BGES Group today.

By focusing on accurate payroll classification, leveraging NYCIRB rules, and partnering with experienced professionals, New York contractors can optimize their workers’ compensation insurance and protect their bottom line.

Industries BGES Group Serves

BGES Group specializes in workers’ compensation insurance for a wide range of industries, including:

• Construction (including higher-risk trades like roofing, demolition, and asbestos abatement)

• Manufacturing

• Auto Service

• Limousine Services

• Moving and Storage

• Trucking

If your business operates in these or related industries, BGES Group has the expertise and programs tailored to meet your specific needs.

_______________________________________________________________________________________________

10 Common Workers’ Compensation Issues BGES Group Can Solve

1. Being Non-Renewed

Have you recently received a non-renewal notice? Don’t panic—our team can help you secure new workers’ compensation coverage quickly and effectively.

2. Frustration with Annual Audits

Tired of spending hours and hundreds of dollars on accountants’ fees for workers’ compensation audits? We’ll guide you through simplifying this process.

3. Poor Loss Experience

Struggling to find a new policy due to claims history? BGES Group specializes in placing coverage for businesses with challenging loss experience.

4. High Experience Modification Factor

Is a high experience mod driving up your premium? Let us find carriers that offer more competitive rates based on your circumstances.

5. Out-of-State Coverage Challenges

Operating in multiple states but your current carrier won’t provide out-of-state coverage? We’ll help you secure a nationwide workers’ comp policy that fits your needs.

6. Incorrect Payroll Classifications

Are payrolls misclassified, leading to higher premiums? We’ll ensure proper classification to avoid overcharges.

7. Delays in Receiving Certificates of Insurance

Need certificates issued quickly for compliance? We’ll make sure your certificates are issued accurately and on time.

8. High Broker Fees

Is your broker charging thousands in additional fees? BGES Group offers transparent pricing and no unnecessary charges.

9. Difficulty Finding Coverage Due to High-Risk Operations

Are you in a “hard-to-place” industry like asbestos abatement, roofing, or demolition? We have access to specialized programs that can cover these risks.

10. Poorly Handled Claims

Frustrated with how your claims are being managed? BGES Group ensures that claims are handled efficiently and fairly, minimizing disruptions to your business.

Why Choose BGES Group?

With decades of experience in workers’ compensation insurance, BGES Group is one of the Tri-State’s leading specialists. We work tirelessly to find you the best coverage at competitive rates, all while delivering boutique-level service.

Contact BGES Group Today

If you’re ready to resolve your workers’ comp issues, contact Gary Wallach today!

📞 Phone: 914-806-5853

📧 Email: bgesgroup@gmail.com

🌐 Website: www.bgesgroup.com

Key Search Phrases for Workers’ Compensation Insurance

• Workers’ compensation insurance for contractors

• High-risk workers’ compensation insurance

• Affordable workers’ comp coverage

• Best workers’ comp insurance for roofing companies

• Nationwide workers’ comp policies

• Help with workers’ comp claims

• Workers’ comp insurance for manufacturers

Take action now to resolve your workers’ compensation challenges with BGES Group—your trusted partner in workers’ compensation insurance solutions.

In the construction industry, managing workers’ compensation insurance is more than just a legal requirement—it’s a critical part of protecting your business and employees. Contractors in the Tri-State area (New York, New Jersey, and Connecticut) face unique challenges, from high-risk projects to ever-changing regulations. For many contractors, BGES Group has become the go-to resource for workers’ compensation insurance, providing tailored solutions, exceptional customer service, and industry expertise.

Here’s why contractors consistently choose BGES Group for their workers’ compensation needs and how they can benefit from working with this specialized insurance agency.

Why Contractors Choose BGES Group

1. Expertise in High-Risk Industries

Construction work often involves activities that insurance carriers deem high-risk, such as roofing, demolition, or masonry. These risks can lead to higher premiums or outright denials from many insurance providers. BGES Group specializes in helping contractors in these industries secure affordable and comprehensive workers’ compensation coverage.

2. Tailored Insurance Solutions

No two contractors are alike. BGES Group takes the time to understand the specific needs of each client, tailoring policies that address their unique risks, coverage requirements, and budget constraints.

3. Competitive Rates

Insurance costs are a major concern for contractors operating on tight margins. BGES Group leverages strong relationships with top carriers to negotiate competitive rates, helping clients save money without sacrificing coverage quality.

4. Assistance with Claims and Compliance

Navigating claims and staying compliant with state regulations can be daunting. BGES Group offers hands-on assistance, ensuring that claims are handled efficiently and that contractors meet all legal requirements to avoid penalties.

5. Comprehensive Services Beyond Workers’ Compensation

BGES Group offers more than just workers’ compensation insurance. They also provide payroll services, general liability insurance, umbrella policies, and group health insurance, making them a one-stop shop for contractors’ insurance needs.

6. Personalized Customer Service

At BGES Group, contractors are more than just policyholders—they’re valued clients. Gary Wallach, the agency’s principal, takes a hands-on approach, ensuring that every client receives personalized attention and expert guidance.

7. Support for Growing Businesses

As contractors expand their operations, their insurance needs evolve. BGES Group helps businesses scale their coverage, ensuring they remain protected as they take on larger projects or hire more employees.

8. Nationwide Reach with Local Expertise

While BGES Group specializes in serving contractors in New York, New Jersey, and Connecticut, their services are available nationwide. For contractors outside the Tri-State area, BGES Group assigns dedicated managers to assist with quotes and coverage.

9. Quick Turnaround

Time is money in the construction industry, and BGES Group understands this. They work quickly to provide quotes, secure policies, and address client concerns, allowing contractors to focus on their projects.

10. Proven Track Record

With decades of experience and countless satisfied clients, BGES Group has built a reputation as a trusted partner for contractors. Their results-driven approach has helped businesses navigate challenges and secure the coverage they need.

10 Hypothetical Scenarios Where BGES Group Can Help Contractors

1. Securing Coverage for a Roofing Company

A New York-based roofing contractor struggled to find affordable workers’ compensation insurance due to the high-risk nature of their work. BGES Group connected them with a specialized program, cutting their premiums by 25% while ensuring comprehensive coverage.

2. Resolving a Lapsed Coverage Issue

A New Jersey contractor faced penalties after a lapse in workers’ compensation coverage. BGES Group quickly secured a new policy and negotiated with the state to minimize fines.

3. Handling a Complicated Claim

A Connecticut contractor faced a workers’ compensation claim that threatened to raise their premiums significantly. BGES Group assisted in managing the claim, providing expert guidance to resolve the issue efficiently and fairly.

4. Reducing Premiums for a Demolition Contractor

A demolition company in Brooklyn was hit with skyrocketing premiums after multiple claims. BGES Group performed a risk assessment, implemented safety measures, and negotiated lower premiums with their carrier.

5. Bundling Services for a Growing Contractor

A general contractor in New Jersey wanted to simplify their operations by bundling workers’ compensation insurance with payroll services. BGES Group provided an all-in-one solution, streamlining compliance and saving the contractor time and money.

6. Helping a Startup Contractor

A newly formed painting company in Queens needed workers’ compensation insurance to bid on projects. BGES Group provided an affordable policy, enabling the business to meet contract requirements and secure jobs.

7. Expanding Coverage for a Large Project

A Stamford-based contractor took on a major project that required additional coverage. BGES Group quickly scaled their policy, ensuring they met the client’s requirements without delays.

8. Assisting a Subcontractor with Compliance

An electrical subcontractor in Long Island faced challenges meeting the insurance requirements of a general contractor. BGES Group tailored a policy that included all necessary endorsements, enabling them to comply and maintain their contract.

9. Improving Cash Flow with Pay-As-You-Go Insurance

A plumbing contractor in Manhattan faced cash flow issues due to large upfront insurance deposits. BGES Group secured a pay-as-you-go policy, improving their financial flexibility.

10. Addressing Coverage Gaps

A masonry contractor in Westchester discovered that their current policy excluded certain risks. BGES Group identified these gaps and replaced the policy with comprehensive coverage that fully protected the business.

About BGES Group

BGES Group is a leading insurance agency specializing in workers’ compensation and liability insurance for contractors in the Tri-State area. With decades of experience, BGES Group offers tailored insurance solutions, expert guidance, and unparalleled customer service.

Core Services

• Workers’ Compensation Insurance

• General and Umbrella Liability Insurance

• Payroll Services

• Group Health Insurance

BGES Group is dedicated to helping contractors navigate the complexities of insurance, providing competitive rates, and delivering personalized service. Their boutique-like approach ensures that every client receives the attention and expertise they deserve.

Contact Information

If you’re a contractor in New York, New Jersey, or Connecticut looking for reliable workers’ compensation insurance, BGES Group is here to help.

• Contact Person: Gary Wallach

• Phone: 914-806-5853

• Email: bgesgroup@gmail.com

• Website: www.bgesgroup.com

Reach out today to learn how BGES Group can protect your business and employees while saving you time and money.