Just because you and the people working for you agree consider themselves independent contractors doesn’t necessarily mean that’s how the California court will view their status in the event of a workplace injury. In many cases, such workers are covered under worker’s compensation insurance even though they aren’t technically employees.
California courts use many tests to determine a worker’s employment status. Just because he is listed in his employment contract as an independent contractor doesn’t make it so. One of the primary considerations used by the courts is whether the worker is licensed and carries their own insurance coverage. To protect your company, make sure to always ask to see the business license or professional license of any person you hire as a contractor as well as they carry their own worker’s compensation insurance policy.
For more information about independent contractors and worker’s comp insurance, please contact 1st Community Insurance Services at 800 316-0019.