TEXAS · /TEXAS
Tex. Lab. Code §406.002.
Texas is the one state where most private employers can choose not to carry workers compensation — Tex. Lab. Code §406.002. But a non-subscriber gives up the protection the system gives employers. Under §406.033, if an injured worker sues, you cannot argue the worker was careless, a coworker caused it, or the worker assumed the risk. Government jobs require coverage, and most general contractors, commercial owners and property managers will not let you on site without a certificate. If your renewal is more than 60 days out, get an indication now and hold it against the renewal offer when it lands. Within 60 days of your renewal or effective date, we can work a real quote.
Texas contractors: call 682-452-1675.
No headcount threshold. Coverage is elective in Texas — but non-subscribers lose their defenses.
Texas Labor Code §406.002(a)
Except for public employers and as otherwise provided by law, an employer may elect to obtain workers' compensation insurance coverage.
What Texas requires
Most private employers may choose whether to carry workers compensation. Tex. Lab. Code §406.002. Contractors on government projects must cover their employees, and so must their subcontractors — §406.096. An employer that goes without coverage must tell its employees and file an annual notice with the Texas Department of Insurance, Division of Workers' Compensation.
What we need from you
Complete in just a minute with a few quick questions. No ACORD form. No insurance vocabulary. Mod at 1.30 or under and premium under $50,000: we do not ask for loss runs.
What you get
An indication in one to two business days, reviewed and signed by a licensed principal of this agency. Hold it against the renewal. Within 60 days of your renewal or effective date, we can work a real quote. Direct-billed on Clear Spring Property and Casualty Group paper. An indication is not a quote, not a binder, and it creates no coverage.
Why most Texas contractors carry it anyway
Without coverage, an injured employee can sue you for negligence, and Tex. Lab. Code §406.033 takes away the defenses that usually limit those suits: that the worker was careless, that a coworker caused the injury, or that the worker accepted the risk of the job. With a workers compensation policy, the benefits are the worker’s remedy for most on-the-job injuries. On top of that, general contractors and commercial customers almost always ask for a certificate before you start, and public work requires it.
Class codes in Texas
Texas writes workers compensation under the Texas Department of Insurance’s rules. Plumbing (5183), electrical (5190) and fire sprinkler (5188) use the same class codes as our other states. Texas HVAC contractors are usually classed 5536 rather than 5537. We price each account from your payroll by class, so tell us what your crews actually do.