Understanding Penalties for New York Employers Without Workers’ Compensation, Disability Coverage, and Paid Family Leave

In New York, employers are mandated to provide workers’ compensation, New York State disability coverage, and Paid Family Leave (PFL) insurance to their employees. Non-compliance with these requirements can result in severe penalties, both financial and criminal.

Financial Penalties for Non-Compliance

1. **Workers’ Compensation Penalties**:

  – **First Offense**: Employers can face a penalty of up to $2,000 for every ten days of non-compliance.

  – **Second Offense**: Repeat violations can lead to increased fines and scrutiny.

  – **Third Offense**: Persistent non-compliance can result in maximum fines and additional legal actions.

2. **New York State Disability Penalties**:

  – **General Fines**: Employers may be fined $500 for every ten days of non-compliance.

3. **Paid Family Leave Penalties**:

  – **General Fines**: Employers who fail to provide PFL coverage are subject to fines similar to those for disability insurance, further increasing the financial burden of non-compliance.

Criminal Penalties for Non-Compliance

In addition to financial penalties, business owners may also face criminal charges:

**Misdemeanor Charges**: Failure to secure workers’ compensation insurance can result in misdemeanor charges, with fines up to $50,000 or even jail time.

**Felony Charges**: Repeat offenses or fraudulent intent can escalate to felony charges, with more severe fines and longer jail sentences.

Steps to Mitigate Financial Fines for Lapsed Coverage

If you are a New York business owner who has let your workers’ compensation, disability coverage, or PFL coverage lapse and have received a fine from the Workers’ Compensation Board, there are steps you can take to mitigate the financial impact:

1. **Obtain New Coverage Immediately**: The first and most crucial step is to secure new workers’ compensation, disability coverage, and PFL coverage as soon as possible. This demonstrates to the authorities that you are making an effort to comply with the law.

2. **Consult with a Lawyer**: Hiring a lawyer who specializes in workers’ compensation and insurance compliance can be beneficial. They can negotiate on your behalf to potentially reduce the penalties.

3. **Contact Gary Wallach at BGES Group**: For assistance in obtaining new coverage, reach out to Gary Wallach at BGES Group. Gary specializes in helping Tri-State business owners secure workers’ compensation, New York State disability coverage, and Paid Family Leave coverage. If anyone can get you the coverage you need, it’s Gary Wallach. Call him today at 914-806-5853.

By taking these steps, you can work towards mitigating the fines and ensuring your business is compliant with New York State laws.

Conclusion

The penalties for not carrying workers’ compensation, New York State disability coverage, and Paid Family Leave insurance are severe, ranging from hefty fines to criminal charges. However, by acting swiftly to secure new coverage and seeking professional legal assistance, you can reduce the financial burden. Remember, Gary Wallach at BGES Group is a valuable resource for obtaining the necessary coverage and ensuring your business remains compliant. Contact him at 914-806-5853 to get started today.

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

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