If your business is insured through the New York State Insurance Fund (NYSIF) and you have employees working outside of New York—whether temporarily, permanently, or from home—you may have gaps in your workers’ compensation coverage. Understanding how your NYSIF policy works, what endorsements you need, and when to seek coverage elsewhere is essential to protecting your business from unexpected costs and penalties.
Two Big Things You Need to Know
1. Add Endorsement #127 for Temporary Work Outside New York
If your employees are New York-based but occasionally work outside of the state, you should add Endorsement #127 (Extraterritorial Coverage) to your NYSIF workers’ compensation policy.
Here’s what the endorsement does:
- It covers bodily injury to your regular New York employees while performing temporary work outside the state.
- It only pays benefits under New York State workers’ compensation law—even if the injury occurs elsewhere.
- It does not cover claims filed under another state’s workers’ compensation law.
This endorsement is especially important for remote or hybrid workers who may occasionally work outside New York, a common scenario since COVID-19. However, keep in mind:
- If an employee files in their home state (e.g., New Jersey) and that state offers higher benefits than New York, your business will be responsible for the difference.
- Endorsement #127 is not a complete solution for employees who are permanently based outside New York.
2. For Ongoing or Non-Temporary Work, Get Coverage Elsewhere
If your employees work outside New York on a regular or permanent basis—for example, at another company facility, a long-term jobsite, or as part of a multi-month project—NYSIF will not extend coverage under Section 3(A) of your policy.
Without proper coverage, you face two serious risks:
- Denied Claims – If an employee is injured, NYSIF may deny the claim entirely.
- Severe Penalties – You could face fines and be forced to pay the claim costs yourself—often tens of thousands of dollars or more.
For non-temporary work in other states, you need a separate workers’ compensation policy for that state or a solution that integrates all your operations into one program.
NYSIF’s Multi-State Coverage Program: A Smart Solution
If your company meets the requirements, NYSIF offers a Multi-State Coverage (MSC) Program that allows you to insure out-of-state employees under one streamlined plan.
Here’s why MSC is worth considering:
- Fast – NYSIF experts quickly assess your out-of-state exposures and make sure you meet coverage requirements.
- Easy – In-state and out-of-state premiums are combined on your regular NYSIF monthly statement—one bill, complete coverage.
- Reliable – Coverage is available in nearly every state across the U.S.
Requirements for MSC Eligibility:
To participate, your business must:
- Have an active NYSIF workers’ compensation policy (or apply for one).
- Have more payroll/premium in New York than in all other states combined.
- Meet NYSIF’s underwriting guidelines.
How BGES Group Can Help You
Navigating workers’ compensation compliance—especially with multi-state operations—can be overwhelming. That’s where BGES Group comes in.
Who We Are
BGES Group is a specialty insurance agency that helps businesses secure the right coverage at the best price. With over 44 years of experience, we specialize in solving tough workers’ compensation problems quickly and effectively.
What We Do for You
- Assess Your Exposure – We review your operations and pinpoint where coverage gaps may exist.
- Recommend the Right Solution – Whether it’s Endorsement #127, a separate out-of-state policy, or NYSIF’s MSC program, we guide you every step of the way.
- Simplify the Process – We handle the paperwork, coordinate with NYSIF or other carriers, and make sure you stay compliant.
- Advocate for You – If there’s ever a claim or coverage issue, we stand by your side to protect your business.
Contact BGES Group Today
Don’t wait until an accident exposes a costly gap in coverage. Call
Gary Wallach at 914-806-5853
Email: bgesgroup@gmail.com
Website: www.bgesgroup.com
✅ Bottom Line: If you have employees working outside of New York—even temporarily—you need to review your NYSIF workers’ comp policy now. Adding Endorsement #127 or enrolling in NYSIF’s Multi-State Coverage program could save your business thousands in uncovered claims and penalties. BGES Group makes the process easy so you can focus on running your business with peace of mind.