Workers compensation
Workers comp insurance for New York employers
New York requires most employers to carry workers compensation. We help Long Island businesses get the right coverage in place, keep it from lapsing and prepare for the year-end audit.
What workers compensation covers, and who needs it.
Workers compensation pays for medical care and a portion of lost wages when an employee is hurt or becomes ill because of their job. It can also pay benefits to a worker’s family if a work injury is fatal. Most policies also include employer’s liability coverage, which can respond to certain lawsuits related to employee injuries. In exchange, covered employees generally cannot sue their employer over a work injury, with limited exceptions under New York law.
Under the New York Workers Compensation Law, most employers must carry it. That often includes part-time workers, and in many cases family members who work in the business. There are exceptions, such as some businesses with no employees and certain owners and officers who may be able to exclude themselves. Coverage should be in place before a new employee’s first day. We help you sort out where you stand.
New York employers generally must also carry disability benefits (DBL) and Paid Family Leave coverage. It is a separate requirement from workers comp, and we can talk it through when we set up your policy. Workers comp also doesn’t replace general liability, which covers injuries to people outside your business.
Who it’s for
Employers we help with workers comp.
Contractors and trades
Construction trades carry some of the higher rates and face close attention to subcontractors. We help you keep your classifications and certificates in order.
Restaurants and food service
Kitchens, delis and cafes with a mix of full-time, part-time and seasonal staff.
Retail shops
Storefronts with a few employees, including part-time help on weekends and during the holidays.
Offices and professional firms
Clerical and professional employers, who often fall in lower-rated classifications.
First-time employers
Owners hiring their first employee who need coverage in place before that person starts work.
Businesses with a lapse or a hard-to-place risk
Employers whose coverage was canceled, or who have trouble finding an insurer, and need a plan to get covered again.
What’s covered
How a workers comp policy works.
Workers compensation is mostly set by state law, so the core benefits do not vary much between insurers. What changes is how your policy is classified, priced and audited.
- Medical care
- Pays for medical treatment related to a covered work injury or occupational illness.
- Lost wage benefits
- Replaces part of an injured worker’s wages while they are unable to work, as set by New York law.
- Death benefits
- Pays benefits to eligible family members if a work injury or illness is fatal.
- Employer’s liability
- Covers certain lawsuits related to employee injuries that fall outside the workers comp system, up to the policy’s terms.
- Payroll and class codes
- Your premium is based on your payroll in each job classification. Riskier work carries a higher rate.
- Year-end audit
- After the policy term, the insurer audits your actual payroll. You may owe additional premium or receive a credit.
- Experience modification (EMR)
- Once a business is large enough to qualify, its claims history is compared with similar businesses, which can raise or lower its premium.
- Subcontractor coverage
- Uninsured subcontractors you pay may be counted in your payroll at audit. Collecting their certificates helps avoid that.
New York & Long Island
Workers comp insurance in New York: what to know.
The New York Workers Compensation Board takes coverage lapses seriously. Employers who go without required coverage can face significant penalties and may be held responsible for the cost of claims. If your policy was canceled or is about to lapse, call us right away.
If a business has trouble getting coverage in the regular market, the New York State Insurance Fund (NYSIF) also writes workers compensation for New York employers. We can look at private carriers available to us and talk through whether NYSIF is worth considering for your situation.
- Contractors in Babylon, Islip, Brookhaven and across Suffolk are often asked for proof of workers comp before a job or permit
- Ask every subcontractor for a current certificate before they start work
- Keep payroll records by job type to make the audit easier
- Report a new location or a change in operations to us before renewal
How it works
Getting covered with All Suffolk Brokerage.
- Tell us about your team
Your type of business, estimated payroll by job type, number of employees, any subcontractors and your past coverage and claims.
- We check classifications and compare
We review how your work should be classified and compare the carriers available to us, including the deposit and payment options.
- Bind and provide proof
Once you choose, we bind coverage and provide the proof of insurance you need for contracts, licenses and permits.
- Audit support and renewal
We help you prepare for the payroll audit, review the results with you and look at your options each renewal.
Is workers comp required in New York?
Yes, for most employers. The New York Workers Compensation Law requires most businesses with employees to carry it, including many with part-time workers or family members on the payroll. There are exceptions, such as some businesses with no employees. Because the rules are specific, ask us before assuming you are exempt.
How is workers comp insurance priced?
Premium is based mainly on your payroll and the classification codes for the work your employees do, multiplied by the insurer’s rates. If your business qualifies for an experience modification rating, your claims history can raise or lower the result. Because the starting premium uses an estimate, the final amount is settled at the year-end audit.
What happens at a workers comp audit?
After the policy term ends, the insurer reviews your actual payroll, usually through records like payroll reports, tax filings and subcontractor certificates. If payroll was higher than estimated, you may owe more premium. If it was lower, you may get a credit. Clean records by job type make the audit faster.
Do I need workers comp for subcontractors?
If a subcontractor has their own workers compensation, keep a current certificate on file. If they do not, the insurer may count what you paid them as part of your payroll at audit, and you could owe premium for them. New York also looks closely at whether a worker is truly an independent contractor.
What is the New York State Insurance Fund?
The New York State Insurance Fund (NYSIF) is a state-run insurer that writes workers compensation and disability benefits coverage for New York employers. Some businesses that have trouble finding coverage elsewhere turn to it. We can compare private carriers available to us and talk through whether NYSIF makes sense for you.
Do I also need disability and Paid Family Leave coverage?
New York employers generally must carry disability benefits (DBL) and Paid Family Leave coverage in addition to workers compensation. It covers off-the-job injuries and illnesses and family leave, not work injuries. We can talk through the requirement when we set up your workers comp.
Related coverage
You may also need
Get a workers compensation quote from a local broker.
Tell us what you need covered. We’ll compare what’s available to you, explain how the options differ, and take care of the paperwork.