New York State has some of the strictest workers’ compensation laws in the country. If you’re an employer and you failed to carry workers’ compensation insurance when required, you may have received a hefty penalty fine from the New York State Workers’ Compensation Board (NYS WCB). These fines can be financially devastating, but you do have options.
In this article, we’ll discuss what steps you can take if you’ve been hit with a workers’ compensation penalty, how to reduce or resolve the fine, and—most importantly—how to avoid future penalties by securing the right coverage through BGES Group, one of New York’s top insurance experts.
Understanding Workers’ Compensation Penalties in New York
New York law mandates that nearly all businesses with employees carry workers’ compensation insurance. If you don’t, the state can issue significant fines, including:
- A daily penalty of $2,000 per 10-day period without coverage.
- An automatic penalty of $12,000 for businesses that go without coverage for more than a certain period.
- Additional fines for misclassifying employees as independent contractors when they should be covered under workers’ compensation.
- Liability for medical expenses and lost wages if an employee gets injured while uninsured.
These penalties can add up quickly, putting a severe financial strain on your business. However, the state does offer some avenues for relief if you act quickly.
Steps to Take If You Receive a Workers’ Compensation Penalty
If you’ve been notified of a fine for not carrying workers’ compensation insurance, don’t panic. Follow these steps to mitigate the damage:
1. Review the Penalty Notice Carefully
First, make sure the penalty is valid. Sometimes, fines are issued due to administrative errors. Check:
- The period for which coverage was missing.
- Whether your business was legally required to carry workers’ comp during that time.
- Any inaccuracies in the notice, such as incorrect business details or misclassified employees.
If you believe there’s an error, you may be able to dispute the fine.
2. Contact the New York State Workers’ Compensation Board
Reach out to the NYS WCB as soon as possible. If your business had coverage but failed to report it properly, you might be able to resolve the issue without paying the fine. If you were uninsured, you might be eligible for a reduced penalty if you secure workers’ compensation insurance immediately.
3. Apply for a Penalty Reduction
New York offers a Penalty Reduction Program that allows some businesses to lower their fines. If you can show that the lapse in coverage was unintentional and that you’ve since obtained the required insurance, you may qualify for a reduction. Factors that could work in your favor include:
- A previously clean record with the NYS WCB.
- A short lapse in coverage.
- Immediate corrective action (securing insurance as soon as possible).
4. Set Up a Payment Plan
If your fine is significant and you cannot pay it all at once, New York may allow you to set up a payment plan. Contact the NYS WCB and ask about installment options to avoid further penalties and potential legal action.
5. Secure Workers’ Compensation Insurance Immediately
To prevent additional fines, you need to get insured right away. Not all insurance providers make the process easy, especially if you’ve had a lapse in coverage. This is where BGES Group can help.
How BGES Group Can Help You Get Back on Track
BGES Group specializes in helping New York businesses secure the right workers’ compensation insurance, even if they’ve had trouble in the past. Whether you’re a contractor, manufacturer, trucking company, or any other type of business, BGES Group can find coverage that meets your needs and budget.
Why Choose BGES Group?
- Fast Coverage to Avoid Further Penalties – We help businesses secure workers’ comp insurance quickly to prevent additional fines.
- Expert Assistance in Complex Cases – If you’ve been denied coverage due to past issues, we can connect you with specialized programs.
- Affordable Rates – We work with multiple carriers to find the best coverage at the most competitive prices.
- Personalized Service – Unlike big insurance companies, we offer boutique-level service, ensuring that every client receives expert attention.
Industries We Serve
BGES Group provides workers’ compensation insurance for a variety of industries, including:
- Construction (including high-risk trades like roofing and demolition)
- Manufacturing
- Limousine and transportation services
- Moving and storage companies
- Trucking and logistics businesses
If you’ve been hit with a fine for lacking workers’ compensation insurance, BGES Group can help you turn things around.
Avoid Future Penalties – Protect Your Business Now
Once you’ve resolved your workers’ compensation issue, make sure you stay in compliance going forward:
- Keep your policy active and up to date. Never let it lapse.
- Report any new employees properly. Misclassifying workers can result in fines.
- Work with an insurance expert like BGES Group. They can help you navigate the complexities of New York’s workers’ comp laws.
Being proactive about your insurance will not only keep you compliant but also protect your employees and your business from financial disaster in the event of a workplace injury.
Need Workers’ Compensation Insurance? Contact BGES Group Today!
If you’ve received a workers’ compensation penalty or need help securing the right coverage, BGES Group is here to help.
📞 Phone: 914-806-5853
📧 Email: bgesgroup@gmail.com
🌐 Website: www.bgesgroup.com
Don’t wait until the penalties pile up—get your business covered today with BGES Group!