Does Arkansas workers compensation law have specific requirements for subcontractors/contractors and sole proprietors?
If you are engaged in any contracting business with 2 (2) or more employees (counting the owner as an employee as well) you are required to provide workers’ compensation insurance coverage. Sole proprietors or partners of a partnership who devote full time to the proprietorship or partnership are presumed to be “employees” for workers’ compensation insurance purposes and subject to coverage for themselves. They can apply for a certificate of “Non Cover” with the Arkansas Workers Compensation Division. FREE EMPLOYERS GUIDE TO ARKANSAS WORKERS COMPENSATION (PDF) Employee Leasing and Staffing Companies Using a PEO or staffing company to obtain your workers compensation may be a good alternative to purchasing your own workers compensation policy. Leasing companies handle your payroll, w-2 forms, unemployment and workers compensation claims. In many cases the down payment required to obtain a new workers compensation policy is high and many new businesses cannot afford the down payment. Ano
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