DEF Construction's workers' compensation policy lapses on March 15th. They continue working until March 30th when coverage is restored. What is the potential penalty exposure?
Correct Answer
B) Civil penalty up to $5,000
Working without workers' compensation coverage subjects the contractor to civil penalties up to $5,000, even for brief lapses in coverage.
Why This Is the Correct Answer
Working without workers' compensation coverage subjects the contractor to civil penalties up to $5,000, even for brief lapses in coverage.
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XYZ Contractors has current gross receipts of $8 million annually. They want to upgrade from Class B to Class A. What additional net worth must they demonstrate beyond the Class B requirement?