Being a mechanical contractor comes with more than its fair share of risks. Whether you squeeze into small uncomfortable spaces, crawl into pipes, or climb up to high, exposed locations, each job site presents its own dangers. 

Along with those risks come a number of potential liabilities. For small businesses in the mechanical contracting space, getting the right types of insurance coverage is key to protecting your business from financial and reputational harm in the event of an unfortunate circumstance.

Some of the most common types of accidents and injuries that people working in mechanical contracting experience include: 

• • Repetitive stress injuries
  • Slips, trips, and falls
  • Being struck by an object 

The good news is that mechanical contractor businesses can often use their workers’ compensation and general liability insurance policies to cover claims from these common industry hazards.

But what if you or an employee of your mechanical contracting business are involved in an incident on the road between jobs? How do you protect yourself and your small business from auto claims? The best way to protect your assets is by adding commercial auto insurance into the mix of your small business insurance policies.

Why do mechanical contractors need a commercial auto insurance policy?

As a contractor, your work takes place at various locations. You and your employees may have to drive short or long distances to serve clients in different parts of your city, state, or beyond. It’s also common to drive between multiple job sites in one day. For all that time spent on the road, your (or your employee’s) personal auto insurance isn’t enough. This is why mechanical contractors need commercial auto insurance. 

What does commercial auto insurance cover? 

Commercial auto insurance covers collision or damage to any vehicles you and your employees drive for work, whether or not the company owns, leases, or borrows them. It also can include coverage for medical bills, vehicle servicing, repairs to your property, and legal fees. While you shouldn’t count on your personal auto insurance policy to cover your business-owned and operated vehicles, a commercial policy can cover personally-owned vehicles used for work purposes. 

Am I required by law to have commercial auto insurance coverage? 

Legally, you must carry commercial auto insurance for any business-owned, hired, or leased vehicles in all states except Virginia and New Hampshire. Whether or not commercial auto insurance is required in your state, your business will be liable if your vehicle is involved in an accident. Federal law requires commercial auto insurance if you cross state lines for your business.

How much commercial auto insurance does a mechanical contractor need? 

The amount of coverage your business needs depends on a variety of factors. How many vehicles your mechanical contracting company uses commercially, how far each vehicle is driven each day, and where each vehicle is stored all play into your coverage needs. 

Risk factors for coverage are also specific to where your mechanical contracting business operates. Geographically speaking, there are different risks in different parts of the U.S. Each state that requires commercial auto insurance will have a minimum level of required coverage, and these minimums are influenced by how far you travel, the size of your vehicles, how many you own, as well as state requirements. 

The bottom line is if you’re a mechanical contractor who owns, hires, or leases vehicles, or you have commercial license plates or registration on your vehicles, you need to add commercial auto to your insurance coverage.

What coverage benefits does commercial auto insurance provide for mechanical contractors?

You have a choice of coverage options with commercial insurance just like you do with personal auto coverage. Only a licensed insurance agent or an insurance provider can tell you the exact options that apply to your situation (along with your state’s minimum requirements). But generally speaking, you may choose to add: 

• • Auto liability: This part of your commercial auto policy protects you and your company from out-of-pocket legal expenses after an accident in a work vehicle if a driver chooses to sue your business.
  • Collision: This aspect covers costs related to the repair and replacement of the vehicles damaged in an accident. It also covers other costs linked with your vehicle hitting, or being hit by, another vehicle.
  • Comprehensive insurance: This part of a commercial auto policy covers weather-related damage, vandalism, and other damage to your vehicle not caused by a collision with another vehicle. 
  • Medical payments or personal injury: This coverage pays medical expenses of parties injured within your vehicle, or by your vehicle, during an accident.
  • Uninsured or underinsured motorist coverage: This important part of your commercial auto insurance protects you and your business from financial losses including medical costs and vehicle repairs after an accident if the at-fault driver has insufficient or no auto insurance coverage. 

Just like your personal auto insurance policy, other customization options include: towing, roadside assistance, rental reimbursement, and more. 

The importance of commercial auto insurance for mechanical contractors 

Mechanical contractors don’t work in offices all day. Your company vehicle may serve as your “office” so it’s vital to protect it. Not only is commercial auto insurance required by law in most states, but it’s also an important piece of coverage to keep your business financially sound if something goes wrong. 

Need commercial auto insurance coverage?

Accidents happen, even to the most careful drivers. Whether someone else is driving distracted or having a medical emergency, sometimes you’re the one who ends up paying the price.

Commercial auto insurance can help you keep your mechanical contractor business up and running in the event of an auto accident. See how Pie can help!

The post Commercial auto and your industry: mechanical contractors appeared first on Pie Insurance.

Running a business is an exciting adventure filled with a million decisions. No two entrepreneurs have the same journey, and no two businesses have the same strategies. However, one element that every company should consider is the insurance they use to protect the organization. 

While more specialized coverages such as cyber risk insurance and errors & omissions apply to certain industries, there are other plans like general liability insurance that every business can benefit from. 

The following sections will provide an overview of the importance of general liability insurance and offer insight into which small businesses can benefit from the coverage. 

What is general liability insurance?

General liability insurance is often seen as the minimum level of insurance that all businesses should carry. With this coverage, business owners have a protective barrier when a lawsuit is brought against the company. With general liability coverage, medical expenses, attorney fees, court fees, and settlement money are covered. 

The policy also covers the following items:

• • Property damage
  • Bodily injuries
  • Advertising/personal injuries

Property damage

One of the main coverages of general liability insurance is property damage. Although the policy won’t cover you in every instance, there are several scenarios where costs associated with property damage are covered. 

For instance, damages a customer or client receives on your business property are typically covered. So, your policy could cover the expenses if you currently own a hardware store and one of your employees damages a vehicle while loading material. The insurance will also cover damages at a client or customer’s home. 

Bodily injuries

Bodily injury claims are often one of the most common lawsuits against a business. These situations occur when a customer is visiting your place of business and is injured. Since bodily injuries can range from a person slipping and falling to an item falling off a shelf and hitting the customer, it’s important to have the appropriate coverage. 

Both examples listed above would typically be covered by the company’s general liability insurance policy. 

Advertising injuries

Generally, advertising injuries aren’t a result of malicious intent. Instead, these lawsuits often arise when a business releases marketing materials that paint another company or person in a negative light or make false claims against an organization or individual. In either case, the general liability coverage will help pay for the legal costs associated with the advertising injury.

Who needs general liability insurance?

With how many components of coverage general liability insurance offers, every business, regardless of industry, should strongly consider purchasing a policy. Not only does it provide an additional layer of protection for your customers, but it also helps reassure your employees that you have their back should anything happen. 

There are also some industries, such as construction, where clients will require your business to have minimum coverage, including a general liability insurance policy. 

The importance of general liability insurance

Many assume that the most important steps to running a successful business are setting up marketing or creating operational processes. While both components are crucial for success, having the proper small business insurance will ensure that your organization can weather any storm it faces. 

General liability insurance is great for starting your insurance product lineup. It will provide your company with many of the most important coverages your business will need to keep customers and employees safe. 

Thanks for reading! Please note that this content is intended for educational purposes only. As best practices change regularly, you should refer to your trusted advisor for specific counsel. If you’re a small business owner, learn more about workplace safety or check your workers’ comp rate in 3 minutes.

The post Does your business need general liability insurance? appeared first on Pie Insurance.

New small business owners get advice from all different directions. Like when adopting a puppy or having a baby, suddenly everyone’s an expert and wants to share their opinion. If you’re just starting a business, it’s more important than ever to get your information from trusted sources. After all, the future of your business and the financial well-being of both you and your employees is what’s at stake.

What small businesses owners actually need

If you’ve recently started a business, or are thinking about starting one, you might have heard that you need workers’ compensation insurance. In most states, this is true for any business with at least one employee (even if they’re only part-time). You also may have heard about other types of small business insurance like general liability insurance or commercial auto insurance. Each of these coverages, along with many others, are valuable protections for your business and its employees, whether required by state law or not. 

Three scams targeting small business owners

Although small businesses have many legitimate needs, there are also several ways people may seek to take advantage of new small business owners. Here are three common scams you might find yourself targeted with. Each of these scams is particularly tricky to spot because they’re based on a grain of truth. Armed with the right knowledge, you’ll be able to identify the common indicators of a small business owner scam. 

Certificate of good standing scam 

You’ve just started a business, congratulations! This may have included registering with your secretary of state, applying for a business license with your city or county, and other legitimate legal steps. The last thing you want right now is to think your business isn’t “in good standing” with any government entity. That’s why this scam can be so effective at getting money from new business owners. 

Small business owners across the U.S. frequently receive letters in the mail shortly after forming their business entity (often an LLC). These letters claim to offer a “certificate of good standing” or in some cases a “certificate of status.” Either way, this is a bogus offer and it’s unclear what (if anything) business owners will actually receive if they send in the requested money. 

According to the Pennsylvania Department of State, such certificates are not required by the government and are usually only needed for things like business loans or mergers. If you do need one, the state offers a legitimate certificate of your business’s status for $40. Not, as the scam letters offer, $89.95 or more. 

Whatever state you live in, the scam remains the same. You’ll get an official-looking letter in the mail with a lot of misleading information so that business owners will easily mistake it for an official form. In all but the most egregious cases, these letters will have some indication (probably in very small print) that they are not in fact official, legal documents from your state. As you’ll see in the next examples as well, this scam relies on the naivety and good intentions of new small business owners who truly don’t want to be on the wrong side of any compliance laws. 

Labor law poster scams 

Once your new small business is up and running, you might be ready to hire your first employee. If you do, don’t forget the very real requirement in most states for workers’ comp insurance. However, beware of scams like this one that try to sell new employers overpriced labor law posters. 

While it’s true that employers do often need to display labor law and minimum wage posters to comply with Occupational Safety and Health Administration (OSHA) and Department of Labor (DOL) regulations, these posters are available electronically at no cost online. Here’s a link to OSHA’s website where you can download the poster for free. 

According to the Better Business Bureau, these scams often target new small businesses with scare tactics and threats of exorbitant “fines” for violating the law if they don’t send money to the scammers. 

To avoid falling victim to this or any other small business owner scam, make sure to read the fine print on any letters you get. It’s also important to do your research and find out if you’re genuinely required to do what the letter instructs. A simple online search for the type of “notice” you receive may reveal its bogus status. 

State periodic filing report scams 

After you’ve been in business for nearly a year, and you’ve successfully avoided giving your money away for free labor law posters or unnecessary certificates of status, it’s time for a new scam to emerge. 

Every state has some form of what’s known as periodic filing or a periodic report for businesses. Most states require it annually or every two years, though some states might have even less frequent requirements. Whatever the case, this periodic filing is a legitimate requirement from your state. What’s not legitimate are the letters you’ll get from third parties offering to perform the filing for a large additional fee. 

In Colorado, for example, an annual state business filing fee is just $10. Yet small business owners get letters in the mail offering to complete this filing for an additional $60 to $100 fee. Considering Colorado allows business owners to file this quick and easy form online for $10, there’s no reason to pay someone additional money to do it for you. But you wouldn’t know that from the letters you get in the mail! 

Once again, these letters look official. They have information about your business that can make them seem legitimate even though they’re not. 

Tips for spotting and avoiding small business scams

You may have noticed a pattern here. Each one of these scams plays on new business owners’ fears of stepping out of compliance with the law. Each scam delivers an official-looking letter by postal mail to the business’s registered address. It can be hard to believe something that looks so official and has so much of your information isn’t from a legitimate source. 

Here are a few tips for recognizing and avoiding these fraudulent and predatory scams: 

• • Read all letters closely: These “services” are required to disclose that they are not a government agency, not a bill or invoice, and not required by law. It’s this small print that allows organizations to legally send out these letters in the first place. 
  • Research your actual requirements: Many states, cities, and counties have a small business administration (SBA) that’s there to provide help and guidance to small business owners. Whether you perform an online search or call up your local SBA, you should be able to easily learn whether the letter you received references an actual requirement or is a realistic-looking scam. 
  • Don’t fall for scare tactics: Often, these types of scams rely on your fear of breaking a law. They may include warnings about financial penalties or even criminal charges, should you not comply with their request! It’s important not to panic. Instead, consult a professional or a trustworthy resource to learn more about your actual requirements. 

While the three scams we’ve covered here rely on postal mail, there are even more ways to fall victim to online fraud. This link from the U.S. Small Business Administration has tips on avoiding online small business scams as well. 

Remember, one thing you may hear as a new small business owner is the need for workers’ compensation insurance, which is true for most businesses even if they have only one employee. To learn more about workers’ comp insurance and other types of small business insurance, check out our workers’ comp 101 resources.

The post Three scams small business owners should look out for appeared first on Pie Insurance.

If you’re a small business owner, we’ve got some great news. American consumers are supporting small and local businesses more than ever before. In 2021, American Express estimated small business Saturday brought in a record-high $23.3 billion. With the 2022 holiday shopping season upon us, a large majority of consumers say they’ll be shopping small again. This means now’s a great time for small business owners to capture new business and increase sales through the end of the year. 

For small business owners around the country, the holiday season represents a time you can capture a large amount of revenue. But it can also bring stress to small business owners and their employees. Here are our tips for helping your small business attract more holiday shoppers and reduce stress to make the most of the season. 

How can small business owners attract more customers this holiday season? 

From your store decor to your employees’ demeanor, here are a few ways to maximize your success during the holidays. 

Decorate for the holidays both in-store and online  

Don’t be a Grinch! Help your customers get into the holiday spirit by decorating your store both in person and online. For many customers, holiday shopping is enjoyable. On the other hand, rushing around from store to store to complete holiday shopping can leave many feeling overwhelmed.  

Your small business can go the extra mile to ensure customers enjoy the shopping experience by making small, yet valuable, gestures like offering food, drinks, and entertainment at your store. 

A few ways you can stand out from the mall and superstore crowd include: 

• • Having live, local musicians instead of canned Christmas tunes
  • Offering snacks from other local businesses to customers while they wait in long lines
  • Providing something warm to drink and a place to sit for shoppers who need to get out of the cold

If you have an online presence for your small business, you can still “decorate” and make the experience unique and enjoyable for customers. Consider giving your website a holiday face-lift for consumers looking to avoid the crowd by doing their gift shopping online. Be sure to offer the same holiday discounts online as you do in-store and make them prominent on your website so customers don’t miss out. 

Create holiday gift guides, gift bundles, and gift cards

Everyone has at least one person on their list they can’t figure out the right gift for. Help your customers complete their holiday shopping at your store by creating gift guides. You could make it simple and only offer a couple of guides like gift ideas “for him” and “for her.” But making more specific guides like “for outdoor lovers,” “for foodies,” and “for teachers” can help show customers that you have the perfect gift for everyone on their list. 

Another great way to sell more during the holiday is with bundles. Select three to five products that people often buy together and pre-wrap or package them as one product. Make sure you offer different bundles for the different types of people on your gift guide and consider offering bundles at different price points to accommodate everyone’s budget. 

Finally, for the truly hard-to-shop-for, make sure you have holiday gift cards available. Even if they’re just purchasing a gift card, shoppers love the option to make it look like a real holiday present. Printing some different holiday-themed gift cards can entice customers to pick up a few for the people on their list they may have forgotten about or just not know what to buy for.  

Offer discounts for Small Business Saturday  

If you aren’t already planning on offering any discounts for Small Business Saturday, you may want to rethink that plan. Falling in what is traditionally the busiest shopping period of the year (the weekend after Thanksgiving), Small Business Saturday encourages consumers to shop small and local.  

Small business owners can capitalize on this highly-profitable day by offering discounts and special offers. Just make sure your customers are aware of any holiday deals you plan on offering and how they can take advantage. Promote your Small Business Saturday specials through emails, social media, newsletters, and anywhere else your customers are sure to see them. Not least of all, use outdoor signs to grab customers’ attention as they walk down the street, especially if your small business is in a walkable local shopping district. 

How can small business owners decrease stress during the holidays? 

While the holidays are a great way to capture new business and increase profits, they can also be extremely overwhelming. This is especially true for small business owners and employees who may be working overtime to handle a sudden surge in sales and customers.   

Here are a few ideas small business owners can implement to help themselves and their staff decrease stress during the holiday season.  

Set realistic goals and expectations 

While small business owners often wear many hats, the truth is you can’t be everywhere at once. Working 15-hour days or selling out of all your products may seem like a great way to boost revenue, but it’ll take a toll on everyone. Instead, before the chaos of the season starts, sit down with your staff and set some realistic goals and expectations for your business. 

It can be helpful to look back on years past to know what you might be facing this year in terms of sales. If this is your first holiday season as a business owner, it might help to check in with others in your area and see if you can get an idea of what to expect. You can often find similar local business owners through your Chamber of Commerce or Small Business Administration. 

Stay organized 

Chaos is bad for business. No matter how organized you are the rest of the year, it’s easy to get overwhelmed and forget to complete basic tasks during the holiday rush. The best way to stay on top of the busy holiday season is to remain organized.   

Take some time at the beginning and end of each day to take stock of important things like receipts, customer orders, and other important documents. It’s always a good idea to write things down either on paper or in an online planner so you don’t forget. Don’t hesitate to go overboard on reminders to yourself and your staff during this hectic time. And don’t forget to ask for help when you need it.  

Empower your employees during the holidays

Your employees are an asset all year long, and even more so during the busy holiday season. From helping customers on the floor to processing online orders to fielding questions and complaints, your staff keeps your business running smoothly. 

Equip your employees with the resources and information they need. Make sure everyone is up to date on holiday specials and that employee workstations or registers are fully stocked before things get busy. 

Be sure to show your appreciation for your staff however you can. That could mean giving out holiday bonuses or gifts. Remember that your staff also needs time to complete their own holiday shopping. You might consider giving employees an extra hour of lunchtime once a week that they can use to run errands or even just to relax.  

Small business owners can win big during the holiday shopping season

The holidays should be an exciting time for small business owners. With plenty of opportunities to capture new business, you have a chance to finish the year out on a high note. Just be sure to take the time to check in if things start to get overwhelming. Encourage your team to power through the holiday season to end the year strong, and don’t forget to give everyone a little downtime when things slow down in January. 

The post Shopping Small May be the Next Big Thing for Small Businesses appeared first on Pie Insurance.

In today’s world, it’s important to be protected from any potential medical mishaps or accidents. In Alaska, there are plenty of requirements in place to protect your employees and small business.

Workers’ compensation is a no-fault insurance system that protects both you and your employees from any illnesses or injuries sustained on the job. This type of coverage protects you from civil liability meaning an injured worker can’t sue you for work-related injuries if you carry workers’ comp insurance.

All employers in Alaska are required to carry workers’ compensation insurance. Carrying insurance is mandatory under the Alaska Workers’ Compensation Act.

The only case in which you wouldn’t be required by the Alaska Workers’ Compensation Act to carry workers’ comp coverage is if you’re a self-insured employer.

Read on to learn what’s required of you as an Alaskan employer and how to protect your business and employees from any accidents that may occur on the job.

What do Alaska small business owners need to know about workers’ compensation?

According to the Employer’s Guide to the Alaska Workers’ Compensation Act, an employee is defined as an individual who is not an independent contractor and who is employed under a hiring contract. An employee must meet all of the necessary criteria outlined in the Alaska Workers’ Compensation Act to be considered an independent contractor.

Family, friends, and volunteers are not exempt from workers’ compensation coverage. Any person who is employed by an employer and is not legally named as an owner of the business with adequate ownership interest must be insured.

There are also no exemptions for part-time or temporary employees. No matter the number of days or hours worked, all employees must be covered with workers’ comp.

Alaska does not have a state workers’ compensation insurance plan. Unless an employer’s business is approved to maintain self-insurance, businesses are required to purchase workers’ comp insurance. This can be done via private commercial insurance carriers that are specifically authorized to write workers’ comp insurance policies in the state of Alaska.

9 essential facts about workers’ comp insurance in Alaska

1. 1. Employers can be assessed penalties of up to $1,000 per employee for each day they’re uninsured.
   2. Employers will be assessed a mandatory $1,000 per day for violating stop-work orders.
   3. Sole proprietors and partners in Alaska aren’t legally required to carry workers’ comp insurance if they’re the only individuals working for the business. In these cases, sole proprietors can “opt-in” if they’d like to insure themselves.
   4. LLC members and corporate directors and officers are automatically exempt if they obtain a minimum 10% ownership interest in the business. LLC members and corporate directors and officers with less than 10% ownership interest are considered employees and must be insured with workers’ comp.
   5. Employers aren’t allowed to charge employees for any amount of workers’ compensation premiums. It’s a misdemeanor crime to do so.
   6. Employees aren’t allowed to waive their workers’ compensation benefits. Any verbal or written agreements to do so are invalid.
   7. Non-profits aren’t exempt from maintaining workers’ comp coverage.
   8. Executive officers and directors of nonprofits are exempt. Executive officer defined: “the president, vice president, secretary, treasurer or a corporate employee who is responsible for the corporation’s affairs generally, has a close connection with the board of directors and other officers and who is specifically designated as an executive officer by the articles of incorporation or corporation bylaws.”
   9. Employers should read the Employer’s Guide to the Alaska Workers’ Compensation Act for all frequently asked questions regarding workers’ compensation coverage for their Alaska business. This is a resource for protecting employees and maintaining coverage.

Curious about Alaska workers’ comp rates?

Remember, every situation is different. Alaska workers’ compensation laws are subject to change, so be sure to research and speak with a trusted advisor.

Please note that this content is intended for educational purposes only. As laws change regularly, refer to your state legislation or an advisor for specific legal counsel. If you’re a small business owner, learn more about the basics of workers’ comp or check your current rate in 3 minutes.

The post Workers’ compensation in Alaska appeared first on Pie Insurance.

Workers’ compensation coverage exists to protect the staff of your business from any injuries or illnesses that may take place while on the job. Workers’ comp can provide your employees with:

• • Medical care and bills: Medical care from a work-related injury is typically paid at no expense to the employee. As a business owner, you’ll cover any reasonable and necessary medical charges.
  • Payments for an employee who’s permanently disabled once maximum medical improvement is reached.
  • Payments for an employee with a permanent impairment or who’s permanently disabled.
  • Payments for temporary indemnity benefits if an injured employee can’t work.
  • Survivor benefits for survivors of those killed on the job.
  • Dispute resolution through the WCA’s ombudsman, mediation, and administrative court system.

Who is covered under New Mexico workers’ comp?

All businesses in New Mexico are required to supply workers’ compensation coverage if they employ three or more workers.

Even if one of those employees works in New Mexico and the other two work in another state, your business is still required to carry workers’ comp coverage. No matter the location, if you have three or more employees, you must have workers’ comp insurance.

Anyone who works for your business may be considered an employee. This may include:

• • • Owners of other business if they work for your business
    • Family members who work for your business
    • Part-time employees
    • Temporary employees
    • Seasonal employees
    • Employees working in non-profit, charitable, and religious organizations
    • Agricultural employees
    • On-call workers

If your New Mexico business is in construction, all workers must be covered by workers’ comp. Regardless of how many people you employ, you’re required to carry workers’ compensation if your business is licensed under the provision of the Construction Industries Licensing Act.

Similarly, if your business is headquartered in a state outside New Mexico and you employ construction workers in New Mexico, you’re required to carry workers’ compensation insurance.

You’re exempt from providing workers’ comp to independent contractors. There’s no one set way to label a person as an independent contractor or an employee, but there are some questions to help you determine if you’re required to provide workers’ compensation coverage:

• • • Who controls what the worker does?
    • Who controls the business aspects of the worker’s job (salary, whether work expenses are reimbursed, who provides work supplies, etc.)?
    • Do you have written contracts or employee benefits with the worker?
    • Is the work this employee performs a key aspect of the business?

Contact the Employer Compliance Bureau at (505) 841-6851 if you need help determining if someone is an independent contractor or an employee.

 What do New Mexico small business owners need to know about workers’ compensation?

There are three types of workers’ compensation coverage you can obtain as a New Mexico small business:

Conventional coverage (the voluntary market)

Private commercial companies must be licensed by the New Mexico Office of Superintendent of Insurance (OSI) with its premium rates approved by the OSI to supply you with workers’ compensation in the voluntary, commercial market. 

Assigned risk pool (for high-risk employers)

If your business is high-risk, you may not be able to obtain workers’ comp coverage in the commercial or group self-insurance markets.

If you recently launched your small business, you can also be a part of this pool before seeking coverage in the commercial market.

Being in the assigned risk pool is more expensive than the voluntary market, so if your business is in the pool, you should have plans to get into another market. 

Self-insurance (for large companies)

Large businesses and government entities that are financially capable are allowed to provide their own workers’ comp insurance.

5 essential facts about workers’ comp insurance in New Mexico

1. You can face penalties for not obtaining workers’ comp coverage if you’re required to do so. These penalties can range from fines to injunctions against your business.
   • The WCA will request that you attend a hearing if you fail to obtain coverage after initial contact from the Employer Compliance Bureau.
   • Your business can be held liable for paying medical bills and a percentage of the injured employee’s wages if there’s an accident and you don’t have workers’ compensation insurance.
2. You must fulfill additional requirements when obtaining workers’ comp coverage, including:
   • Paying the workers’ comp assessment fee to the New Mexico Taxation and Revenue Department. This is a quarterly fee of $4.30 per employee each calendar quarter.
   • Displaying a copy of the Workers’ Compensation Act poster and a Notice of Accident form in an appropriate location at your business.
   • Complying with each of the workers’ comp safety inspection requirements.
3. If an employee gets injured on the job, as an employer you should:
   • Sign the Notice of Accident form.
   • Encourage any employee injured on the job to seek reasonable and necessary medical treatment.
   • Notify your insurance company within 72 hours of the injury.
   • In writing, clarify with the injured employee if you or them will have first selection of a health care provider in the case of necessary medical attention.
   • Communicate both with the insurer and the injured employee throughout the entire recovery process.
   • Provide any possible workplace accommodations for the recovering worker.
   • If you’re actively hiring (pre-injury job or modified work), you should offer to rehire the injured worker.
4. Be aware that any employee of yours who’s injured on the job should do the following:
   • Seek medical care for any job-related injuries or illnesses in a timely fashion.
   • Notify you, the business owner, within 15 days of the initial accident by completing the Notice of Accident form and giving it to you.
   • Keep lines of communication open with you, the adjuster, and health care provider.
   • Go to the authorized health care provider and inform you of which provider will offer treatment.
   • Take any prescribed medications as directed and take appropriate steps to get back to proper health.
   • Notify you when they’re medically released to return to work.
5. Your employees can continue to work while recovering from a work-related accident, as long as they’re approved by their healthcare provider to do so. This could include modified or alternative work.

 Curious about New Mexico workers’ comp rates?

Remember, every situation is different. New Mexico workers’ compensation laws are subject to change, so be sure to do your research and speak with a trusted advisor.

Please note that this content is intended for educational purposes only. As laws change regularly, refer to your state legislation and/or an advisor for specific legal counsel. If you’re a small business owner, learn more about the basics of workers’ comp or check your current rate in 3 minutes.

The post Workers’ compensation in New Mexico appeared first on Pie Insurance.

As a Mississippi small business owner, do you need to maintain workers’ comp insurance?

If your goal is to start a business in Mississippi, you’ll want to ensure you have the proper processes in place to encourage success. For instance, before you start selling services or products to customers, you’ll need to set the foundation for your company. These building blocks include sales and marketing strategies, accounting, and operations. 

Along with these building blocks, you’ll also want to ensure you have the proper protection for your company and employees — this means purchasing small business insurance products, including workers’ comp and general liability. 

In the state of Mississippi, companies that employ at least five full-time employees must obtain workers’ compensation insurance. This coverage not only protects the business but also covers the medical expenses and potential disability benefits of an injured employee. 

For owners who haven’t had experience with workers’ compensation in the past, we have created a helpful guide to get you started. 

10 important workers’ compensation insurance facts for Mississippi entrepreneurs

1. Only companies with at least five full-time employees are required to maintain an active workers’ compensation policy
2. Workers’ comp insurance will cover any injury or illness as long as it’s a result of the work an employee was doing for the company
3. In Mississippi, employees are covered under workers’ compensation as early as their first day on the job
4. Certain types of employees are considered exempt from the workers’ comp mandate. These groups include:
   • Farm laborers
   • Federal workers
   • Domestic workers
   • Nonprofit employees
5. Sole proprietors and independent contractors are not required to have workers’ comp for themselves but will need to purchase a policy if they have more than five employees
6. In addition to paying an employee’s medical expenses out-of-pocket, business owners could also face a $1,000 fine and jail time for not maintaining workers’ comp coverage
7. If a death occurs as a result of a workplace injury, beneficiaries could receive benefits up to 450 weeks after the incident
8. Should an employee opt for a workers’ comp settlement, it will need to be approved by the Mississippi Workers’ Compensation Commission
9. Workers’ compensation insurance provides several benefits for injured employees, including:
   • Medical expense coverage
   • Ongoing care coverage
   • Missed wages
   • Funeral expenses
   • Disability benefits
10. Injured employees must notify their employees right away when an accident occurs. From that point, employers have 30 days to submit the incident to the Mississippi Workers’ Compensation Commission

Remember, every situation is different and state workers’ compensation laws are subject to change, so be sure to do your research and speak with a trusted advisor.

Please note that this content is intended for educational purposes only. As laws change regularly, refer to your state legislation and/or an advisor for specific legal counsel. If you’re a small business owner, learn more about the basics of workers’ comp or check your current rate in 3 minutes.

The post Workers’ compensation in Mississippi appeared first on Pie Insurance.

Running a successful general contracting business requires a great deal of travel. Whether it’s traveling to and from different job sites, picking up materials, or delivering supplies, you rely on a work van or truck to keep your business, quite literally, moving.

But what happens when you or one of your employees is involved in an accident while driving a work vehicle? Or tools and equipment are stolen from it? Whether or not you’re at fault, the result could be costly. It has the potential to set you back financially, or even put you out of business.

To keep your general contracting business covered on the road and help your business get back up and running after an accident, you’ll need a commercial auto insurance policy. General liability insurance and workers’ compensation insurance will protect you and your staff in case of accidents or injuries that occur on the job, but what about all the travel time in between?

Read on to learn more about commercial auto insurance for contractors, what’s covered, and why your business needs it.

What do general contractors need to know about commercial auto insurance?

Commercial auto insurance provides coverage for your business’s commercial vehicles in case of an accident or collision. This includes coverage for multiple employees who may be responsible for driving work vehicles.

Unlike personal auto insurance, commercial auto insurance provides extra coverage for your business in instances such as someone other than the vehicle owner driving the vehicle. Your commercial auto insurance will cover expensive repairs and medical bills, as well as the cost to repair or replace expensive tools or equipment that may have been damaged.

Is commercial auto insurance required by law?

For most states, except for New Hampshire and Virginia, commercial auto insurance is required by law. However, regardless of whether your state requires commercial auto insurance, all states require some form of personal auto insurance coverage to protect you and others on the road in the event of a collision.

If your business owns or leases a vehicle, or if your vehicle has a commercial license plate, registration, or tag, you’ll need coverage.

What does commercial auto insurance cover for general contractors?

In the event you or your crew get into a collision when driving to or from the worksite, you can rely on your auto insurance to cover the costs of vehicle and/or property damages, medical bills, lawsuits, and more. What your auto insurance covers will depend on your policy. Your commercial auto coverage may include:

• • • Collision to cover any costs associated with your work vehicle being hit by, or hitting, another vehicle. This includes the cost to repair or replace the damaged vehicles involved in the accident or collision.
    • Comprehensive to cover any damages that may occur without an accident ensuing. For example, vandalism or weather-related damages.
    • Auto liability to protect you and your company’s assets should another driver sue your business after an accident with a work vehicle.
    • Personal injury or medical payments to cover any medical expenses should the occupants of a work vehicle be injured in an accident.
    • Uninsured or underinsured to cover repair or medical costs after an accident if a driver doesn’t have personal auto insurance or insufficient coverage.

You can also customize your insurance policy to include additional coverage such as:

• • • Roadside assistance to cover assistance for dead batteries, flat tires, or lock outs.
    • Rental reimbursement to cover the cost of a rental vehicle to keep your business moving after an accident or collision occurs.
    • New vehicle replacement cost to help pay for a new vehicle should your work vehicle be totaled in an accident.
    • Expanded towing for towing coverage beyond what your existing commercial auto policy provides.

For commercial builders or general contractors who specialize in new construction, your insurance policy can also cover specialized vehicles or equipment that may be damaged in an accident. For example, if a work vehicle is totaled and the supplies it was carrying can no longer be used, your commercial auto insurance will cover the cost to replace these materials.

What happens if you don’t have auto insurance?

Adding commercial vehicles into the mix only increases the potential or risk for employees and liability for your general contracting business.

As a business owner, if you don’t have commercial auto insurance and a vehicle that you own or lease is involved in an accident, you may be liable to pay damages out of pocket. Even the smallest fender bender can be financially crippling to a small business without the right insurance policy in place.

Not covered yet?

Operating a vehicle for your business comes with risks. Even the safest driver can find themselves in circumstances out of their control, and no one wants to be stuck paying the cost of repairs out of their own pocket.

Luckily, commercial auto insurance can help you avoid expensive repairs and keep your general contracting business running smoothly. Think you may need a policy? Pie can help with that!

Thanks for reading! Please note that this content is intended for educational purposes only. As best practices change regularly, you should refer to your trusted advisor for specific counsel. If you’re a small business owner, learn more about workplace safety or check your workers’ comp rate in 3 minutes.

The post Commercial auto insurance: general contractors appeared first on Pie Insurance.

North Carolina is a great place to open a small business. In fact, small businesses comprise 99.6% of the state’s businesses and employ 1.6 million workers.

However, before you place an ad to attract employees, you need to know the small business workers’ comp rules that apply to your business.

10 facts about workers’ compensation in North Carolina

1. 1.     The North Carolina Workers’ Compensation Act is administered by the state’s Industrial Commission.
   2.     In 2020, private employers in North Carolina reported 64,900 nonfatal workplace injuries and illnesses.
   3.     Two industries—trade, transportation and utilities and education and health services—reported 53% of occupational injuries and illnesses in North Carolina in 2020.
   4.     You are required to carry workers’ comp insurance in North Carolina if you employ three or more employees. This regulation applies to corporations, sole proprietorships, limited liability companies and partnerships.
   5.     North Carolina’s workers’ compensation requirements also apply to certain trucking owners or operators, even if the operator works as an independent contractor. If the owner-operator doesn’t have his or her own workers’ comp insurance, the employer must provide coverage.
   6.     As with most regulations, there are exceptions to the rule. Employees who don’t require workers’ comp insurance include:
      • Those employed by certain railroads
      • Casual employees who are not employed in the same field as the employer
      • Domestic servants directly employed by the household
      • Farm workers employed by a company that has fewer than 10 full-time, regularly employed, non-seasonal farm laborers
      • Employees of the federal government
      • People who sell agricultural products on commission or for other compensation paid by the producer

1. 7.     A business that employs independent contractors in North Carolina and issues a Form 1099 for tax purposes may still be required to provide small business insurance to these individuals if the N.C. Industrial Commission determines that these workers function as employees.
   8.     If you contract with a subcontractor who doesn’t have workers’ comp insurance, you may be on the hook to pay for work-related injuries of the subcontractor’s employees, regardless of the number of employees you or the subcontractor employs.
   9.     There are penalties for not carrying workers’ comp insurance. If not properly insured, you may be:
      • Penalized financially
      • Charged with a misdemeanor
      • Charged with a felony, or
      • Required to serve jail time

1. 10. If an employee is injured on the job, you must immediately report the incident to your worker’s comp insurance carrier. If an injury or illness causes your employee to miss more than one day of work or medical expenses are more than $4,000, you or your insurance carrier must submit an Employer’s Report of Employee’s Injury to the Industrial Commission form (Form 19) within five days of learning of the incident. Once Form 19 is filed, you must provide the employee a copy of the form and ask him or her to complete a Notice of Accident to Employer and Claim of Employee form (Form 18).

For more information about meeting small business insurance requirements in North Carolina, check out the state’s Workers’ Compensation Supervisor Handbook.

Remember, every situation is different. North Carolina workers’ compensation laws are subject to change, so be sure to do your research and speak with a trusted advisor.

Please note that this content is intended for educational purposes only. As laws change regularly, refer to your state legislation and/or an advisor for specific legal counsel. If you’re a small business owner, learn more about the basics of workers’ comp or check your current rate in 3 minutes.

The post Workers’ compensation in North Carolina appeared first on Pie Insurance.

Like many states, it’s required by law in Alabama for employers to have workers’ compensation coverage. This insurance protects your business by providing you with limited civil liability in the case of an employee’s on-the-job injury or occupational disease. This coverage can help you avoid double compensation, penalties and fines.

Read on to learn what Alabama workers’ compensation is and how it can protect you and your small business in the event of a work-related accident.

What do Alabama small business owners need to know about workers’ compensation?

Alabama’s Department of Labor aims to protect the state’s employees and employers by providing compensation for job-related injuries and diseases through the Alabama Workers’ Compensation law.

The law requires that all job-related injuries must be reported to the insurance carrier. The insurance carrier is responsible for filing the Employer’s First Report of Injury to the Alabama workers’ compensation division. The division must keep a record of all job-related injuries that have been reported until final compensation is issued.

What benefits are covered by workers’ compensation coverage?

Employee benefits fall under four categories:

Medical benefits

• • Doctor visits
  • Emergency room care
  • Surgery
  • Medications
  • Physical therapy
  • Medical equipment, such as crutches and wheelchairs
  • Chronic pain management 

Disability benefits

These benefits can include wage coverage for the time it takes an injured employee to recover and return to work. The amount of wage replacement depends on:

• • The level of disability
  • The worker’s earning capacity
  • Alabama state regulations

Disability benefits could be for life if the employee’s disability permanently prevents them from returning to work. 

Rehabilitation benefits

• • Job training
  • Skills assessment and testing
  • Job development and placement
  • Resume assistance
  • Tuition reimbursement
  • Books and additional expenses

Death benefits

If an employee dies in a work-related incident, their dependents will be provided workers’ comp benefits. Dependents can include a spouse, minor children, or elderly parents living in the same household.

Benefits also include burial expenses and funeral costs in most states.

Additionally, an employee can also receive death benefits years after an injury. For example, if a worker is exposed to toxic chemicals on the job and develops cancer years later as a result, they can receive benefits.

10 essential facts about workers’ comp insurance in Alabama

1. As an Alabama employer, you’re not required to have workers’ comp insurance coverage if you employ fewer than five workers, full-time or part-time. This includes officers of a corporation in any one business.
2. Members of a limited liability company (LLC) and officers of a corporation or S corp. are covered by workers’ compensation.
3. Alabama contractors involved in the construction of single-family, detached dwellings must carry workers’ comp coverage. Any business where employees face a risk of injury on the job are strongly encouraged to purchase workers’ comp insurance, even when it’s not required by law.
4. You’re not required to have workers’ comp coverage if you employ:
   • Domestic workers
   • Farm laborers
   • Casual employees
   • Municipalities with a population lower than 2,000 people (according to the most recent federal census)
5. If you employ workers in any of the above categories, you can still choose to provide workers’ comp coverage and include these employees in the company’s insurance program.
6. Alabama’s Workers’ Compensation Division works to ensure that employees who have experienced a work-related accident are properly paid their compensation benefits. The division will ensure these individuals receive proper medical attention.
7. The division also provides services and information to:
   • Claimants
   • Employers
   • Attorneys
   • Insurance companies
   • Judges and legislators
   • Labor and management groups
   • Government agencies
8. The employer/insurance carrier is responsible for directing medical care after an employee submits a claim. Except in the case of an emergency, the employer/carrier’s selected primary care provider will provide medical care for the claimant. The employer/carrier must direct care from the time the work injury notice is given – not after treatment has already begun.
9. As an employer, you’re only responsible for the payment of medical bills associated with the injury claimed by the employee.
10. Claimants can be reimbursed for mileage to doctor visits through workers’ comp coverage.

Curious about Alabama workers’ comp rates?

Remember, every situation is different. Alabama workers’ compensation laws are subject to change, so be sure to do your research and speak with a trusted advisor.

Please note that this content is intended for educational purposes only. As laws change regularly, refer to your state legislation and/or an advisor for specific legal counsel. If you’re a small business owner, learn more about the basics of workers’ comp or check your current rate in 3 minutes.

The post Workers’ compensation in Alabama appeared first on Pie Insurance.