A workers compensation question asked today.
Workers compensation statutes and rules are state specific. In other words each state goes by it’s own rules and there should be no assumption that what goes on in one state applies to another! You can find direct links for each individual state on our State Directory of Work Comp Rules and Laws, found on our website.
Arkansas includes corporate officers within coverage by statute however corporate officers may elect to be excluded from coverage. What’s that mean? If a corporate officer is included then payroll or remuneration for that corporate officer will be included in the rating process to determine a deposit premium for the policy. Most of the time corporate officer payroll will either be a flat fixed amount or some kind of banded range between a minimum and maximum. But remember, if coverage applies, a premium will be charged. Makes sense right?
Do not to confuse the inclusion or exclusion of corporate officers in Arkansas workers compensation with other entities like sole proprietors or partnerships. Different rules apply for different employer entity types so be sure to check and verify the treatment of corporate officers or other entities within your specific state.
Hope you find this information helpful!