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A contractor has two employees but keeps only a workers' compensation exemption on file. What is the compliance problem?

Correct Answer

D) Coverage missing.

A contractor employing anyone subject to California workers' compensation laws must have coverage rather than relying on an exemption.

Answer Options
A
Travel time.
B
Wage notice update.
C
Workers' comp.
D
Coverage missing.

Why This Is the Correct Answer

A contractor employing anyone subject to California workers' compensation laws must have coverage rather than relying on an exemption.

Why the Other Options Are Wrong

Option A: Travel time.

Travel time. misses the specific employer duty in workers' compensation coverage; it does not resolve the pay, reimbursement, status, timing, or record issue.

Option B: Wage notice update.

Wage notice update. misses the specific employer duty in workers' compensation coverage; it does not resolve the pay, reimbursement, status, timing, or record issue.

Option C: Workers' comp.

Workers' comp. misses the specific employer duty in workers' compensation coverage; it does not resolve the pay, reimbursement, status, timing, or record issue.

Memory Technique

Worker money labels stay separate for Reviewing License: wage, premium, reimbursement, record.

Reference Hint

Study anchor (closed-book): memorize Workers' compensation coverage from CSLB Workers' Compensation Requirements; CSLB Workers' Compensation. / CSLB workers compensation requirements when employing anyone; know the rule or calculation trigger without relying on exam-room lookup.

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