If you’re a contractor operating in New York, New Jersey, or Connecticut, there’s a critical question you need to ask yourself right now: Is your workers’ compensation insurance being cancelled?
It’s a reality many contractors in the Tri-State area are facing. The market has tightened, premiums are on the rise, and insurance carriers are becoming more selective about who they insure. If you’ve received a non-renewal notice, cancellation letter, or your broker has warned you that your policy is at risk, don’t panic—but don’t ignore it either.
Workers’ compensation insurance is not just a formality. It’s a legal requirement and a lifeline for your business. Without it, you risk fines, lawsuits, and potentially losing your license. Plus, you expose yourself to serious financial liability if an employee gets injured on the job.
Before you find yourself scrambling for last-minute coverage, it’s important to understand why these cancellations happen and what you can do about it. Let’s dive into the most common reasons policies get cancelled and how you can stay ahead of the game.
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5 Common Reasons Workers’ Compensation Policies Get Cancelled
1. Payment Issues / Missed Payments
One of the most common reasons for cancellation is simply missing payments. Whether it’s due to cash flow issues or oversight, insurance carriers don’t wait around. If you’re late, even by a few days, they may cancel your policy. In some cases, just one bounced payment can trigger a cancellation notice.
2. High Loss Ratios or Frequent Claims
If your company has had several workers’ compensation claims—or even just one severe injury—that can be a red flag to insurers. A high loss ratio makes your business appear risky. If claims outweigh the premium you’re paying, carriers may decide you’re too costly to insure and cancel your policy.
3. Misclassification of Employees
Misclassifying employees, whether intentional or accidental, can lead to big trouble. If you’re listing high-risk workers (like roofers or demo crews) as low-risk clerical employees to lower premiums, it’s a red flag. Audits will catch it, and your policy could be cancelled or re-rated retroactively, leading to massive bills.
4. Failure to Comply with Audit Requests
All workers’ comp policies are subject to audits. If you don’t cooperate with audits or fail to provide the required documentation, your carrier can cancel the policy outright. It’s viewed as non-compliance, which insurers see as a liability.
5. Business Structure Changes or Unreported Growth
Did your business expand quickly? Take on more employees or start working in another state? If you didn’t report those changes to your insurer, they may cancel your policy for material misrepresentation. Insurers want transparency and full disclosure. If you hide changes—even unintentionally—it could cost you.
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BGES Group: Your Workers’ Comp Lifeline
If your workers’ compensation policy has been cancelled—or if you’ve been warned that it will be—you’re not alone. The good news is there’s help.
BGES Group specializes in helping contractors in the Tri-State area find new, affordable workers’ compensation coverage—even if they’ve been cancelled, non-renewed, or declined elsewhere.
We understand the construction industry. We know the risks, the paperwork, the classifications, and the unique challenges that come with insuring contractors. That’s why we don’t just offer cookie-cutter solutions—we tailor coverage to your specific needs and risk profile.
We work with top-rated insurance carriers who are contractor-friendly, and we’ve helped hundreds of businesses just like yours get back on track with the coverage they need to keep working.
Whether you’re:
• A general contractor
• A roofer, framer, mason, or concrete contractor
• In demolition or asbestos abatement
• Running payroll or using 1099s
• Operating with union or non-union labor
We can help you secure affordable, legally compliant coverage without the stress.
We also understand the urgency. You can’t afford to wait weeks for quotes or get bogged down in paperwork. We move fast—and make the process simple.
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Don’t Risk Going Uninsured—Call BGES Group Today
If your workers’ compensation coverage is being cancelled—or if you’re concerned it might be—it’s time to take action. Let BGES Group help you secure the coverage your business needs to stay protected, stay compliant, and keep your projects moving forward.
Contact Gary Wallach at BGES Group Today:
Phone: 914-806-5853
Email: bgesgroup@gmail.com
Website: www.bgesgroup.com
Don’t wait until it’s too late. We’re here to help you find the right coverage at the right price—fast.
Let’s get you back to work with peace of mind.