Workers compensation laws, rules and policy information for the State of Florida
Related Pages: More About Florida Rules
Authority/State Rating Bureau: NCCI
National Council on Compensation Insurance (NCCI)
901 Peninsula Corporate Circle
Boca Raton, FL 33487-1362
Private Insurance: Allowed
State Fund: No State Fund.
Assigned Risk: Assigned risk coverage in Florida provided by the Florida Workers’ Compensation Joint Underwriting Association (FWCJUA.) The FWCJUA was created during the 1993 legislative session to provide workers’ compensation insurance in the State of Florida to Employers who are required by law to maintain such insurance and who are in good faith entitled to, but who are unable to, purchase such insurance through the voluntary market.
In order to obtain workers’ compensation insurance with the FWCJUA, Employers are required to utilize the professional services of a licensed insurance producer that has been authorized to submit applications to the FWCJUA. The FWCJUA has over 800 authorized Agencies with over 1,400 authorized Designated Producers located throughout the state of Florida. No additional cost will be incurred by utilizing the services of an authorized Designated Producer. Contact FWCJUA at:http://www.fwcjua.com/
Numerical Exceptions: If you are in an industry, other than construction, and have four (4) or more employees, full-time or part-time, you are required to carry workers’ compensation coverage (an exempted corporate officer does not count as an employee).
If you are in the construction industry, and have one (1) or more employees (including yourself), you are required to carry workers’ compensation coverage (an exempted corporate officer or member of a limited liability company does not count as an employee).
If you are a state or local government, you are required to carry workers’ compensation coverage.
If you are a farmer, and have more than five (5) regular employees and/or twelve (12) or more other workers for seasonal agricultural labor lasting thirty (30) days or more, you are required to carry workers’ compensation coverage.
Individual Waivers Allowed: Yes. However corporate officers may elect to be exempt. In the construction industry, no more than three corporate officers may be exempt, and each must demonstrate at least 10% ownership. See below.
Small Deductible Program:
- Allowed: Yes – See Note Below – But subject to insurance carriers credit investigation and determination of employers ability to repay the deductible.
- Deductible Range: $500; $1,000; $1,500; $2,000 and $2,500 See Note Below
- Type: Unknown
- Effect on Experience Rating: Net – But must be reported
- Available In: Unknown
- Special Note: Florida Statute 440.20(1)(b) Requires that a notice be sent to employers that a state authorized $2,500 deductible plan is available. There is no premium credit for use of this plan. This plan cannot be used on the same policy in conjunction with coinsurance programs or other available deductible plans.
- For More Information About How Deductible Programs Work
Sole Proprietor: Sole proprietors and partners are automatically excluded from workers’ comp; they do not have to get an exemption. If they wish to be covered by workers’ compensation, they must file form DWC 251 – Election of Coverage with the Division of Workers’ Compensation. If they want to go back to being excluded from workers’ comp, they can file form DWC 251R – Revocation of Election of Coverage. EXCEPTION: See below for important contractors exception. If included the rating payroll used is $40,700 per year 1-1-2011, $41,800 as of 1-1-2013, $42,400 as of 1-1-2014, $43,000 as of 1-1-2015, $43,800 as of 12-1-2016 however if the IRS Schedule C is less that this amount then the amount reported on schedule C may be used.
Partners: Refer to sole proprietor section and contractors section. If included the rating payroll used is $40,700 per year 1-1-2011, $41,800 as of 1-1-2013, $42,400 as of 1-1-2014, $43,000 as of 1-1-2015, $43,800 as of 12-1-2016 however if the IRS Schedule C is less that this amount then the amount reported on schedule C may be used.Corporate Officers: Officers of a corporation, with ownership in the corporation and who hold an office on its Board of Directors and in non-construction businesses can exempt all of their officers – no limit to number of exemptions. If included the minimum weekly rating payroll used is $400 ($200 for the construction industry) and the maximum is $2,300 as of 1-1-2011, $800 ($400 for the construction industry)/$2,400 as of 1-1-2013, $800 ($400 for the construction industry)/$2,400 as of 1-1-2014, $850 ($400 for the construction industry)/$2,500 as of 1-1-2015, $850 ($400 for the construction industry)/$2,500 as of 12-1-2016.
LLC Members: Effective July 1, 2013, Section 440.02(9), Florida Statutes were amended to include Limited Liability Company (LLC) members as employees. LLC members will be included on their Workers Compensation insurance policy; however, they may elect to be exempt by filing a Notice of Election to Be Exempt with the Division of Workers’ Compensation. As found in NCCI: For purposes of premium determination, members of non-construction industry limited liability companies (LLC) will be treated in the same manner as the LLC is classified under federal tax laws. For federal tax purposes, an LLC business entity may be classified as a corporation, partnership, or sole proprietorship. And for purposes of premium determination, members of construction industry limited liability companies must be treated as executive officers. However be sure to check with your Florida state authority as to the proper treatment of LLC members.
Use this link to access: Florida State Exclusion and Inclusion Forms – Florida requires notice of election to be exempt forms be filed with the State. This link will take you to a page on the Florida State website where you can find the actual forms and have access for online filing.
A Note About Forms: Be sure to check with your insurance company for any additional forms they may use for exclusion or inclusion of coverage.
Contractors: Sole proprietors and partners in the construction industry cannot exempt out of workers’ comp. Sole proprietors and partners must now purchase workers’ comp coverage if they wish to remain working legally. A corporation can exempt up to 3 of its officers however each officer must own at least 10% of the corporation’s stock. An LLC can exempt up to 3 of owners (called “managing members”) however each one must own at least 10% of the LLC.
Special Notes: None
Experience Rating Eligibility: Employers in Florida will receive an experience modification rate or EMR when they meet one of these triggers:
- $10,000 in policy premium is generated during the last year or last two years.
- $5,000 is the average policy premium generated for more than two years.
Florida Subrogation: Subrogation for Florida workers compensation is addressed in the Florida State Statute 440.39. This statute is available to view online. Use this link to access Florida 440.39, it will take you directly to the statute. If this link does not work then use the access further below and go to the Florida State Statutes and search for 440.39.
Florida Workers While In Other States; Other States Workers While In Florida, Extraterritorial, Reciprocity and Non-Compliance: When an Florida worker is working temporarily in another state, workers compensation coverage for that worker is governed by the extraterritorial provisions found in Florida statutes. When allowed, extraterritorial provisions allow benefits for an injured worker to apply as if the worker was in their primary state. Not all states provide Extraterritorial Provisions. Reciprocity governs coverage for a worker from another state who is working temporarily in Florida. Florida will honor coverage for temporary workers not in the construction industry. Construction industry work requires specific coverage from Florida. And special rules may apply during catastrophic situations where workers from other states come into Florida to help with repairs and cleanup. Compliance of workers compensation laws varies from state to state and it is important for an employer with workers performing duties in other states to be aware of the specific state rules that govern their coverage. We’ve provided the below general information about extraterritorial and reciprocity as a basic guide. Please contact your state authority with your specific questions concerning this topic!
- Provisions: Yes
- Duration: Not Specific
- Allowed: Contact the Florida Division of Workers Compensation for details at http://www.fldfs.com/WC/index.htm
- Specific Statute: Statute 440.094;
- For More Information Contact: Florida Division of Workers Compensation, Bureau of Compliance 850-413-1600.
Florida Department of Financial Services
200 E. Gaines Street
Tallahassee, FL 32399
Florida Division of Workers’ Compensation
2012 Capitol Circle
SE Hartman Building
Tallahassee, Florida 32399-0680 850-921-6966
Workers Compensation Statute:
Information on this page is provided only as a reference. While we strive to mantain accurate information on this site please realize workers compensation laws are complicated and subject to change at any time. No warranty as to the accuracy or completeness of this information is provided or to be implied. You must verify this data before use with the individual governing authority for this state. If you need help with a workers compensation problem or have a specific situation or question please contact our office. Otherwise please consult your states governing authority or an attorney in your state of residency for assistance.