Under Georgia workers' compensation law, at what number of employees must a contractor carry workers' compensation insurance?
Correct Answer
A) 3 or more employees
Georgia law requires employers with 3 or more employees to carry workers' compensation insurance, with some exceptions for certain types of workers.
Why This Is the Correct Answer
Georgia's Workers' Compensation Act requires employers with 3 or more employees to carry workers' compensation insurance. This threshold applies to contractors and most other employers in Georgia, with limited exceptions for certain agricultural workers and domestic servants.
Why the Other Options Are Wrong
Option B: 10 or more employees
10 or more employees is the threshold in some other states, but not Georgia. Georgia's threshold of 3 employees is much lower, meaning most contractors will need coverage well before reaching 10 workers.
Option C: 1 or more employees
1 or more employees represents the most protective possible standard, but Georgia does not require workers' comp for a single employee. The threshold is 3 employees. This option would significantly expand compliance obligations beyond what Georgia law actually requires.
Option D: 5 or more employees
5 or more employees is the threshold in a few states, but Georgia uses 3 as the trigger. Selecting this option underestimates when coverage is required and could leave workers unprotected.
Memory Technique
Remember 'Georgia's Triangle Rule' — a triangle has 3 sides, and Georgia requires workers' comp at 3 employees. Picture three workers standing on the points of a peach-colored triangle in Georgia.
More Georgia Questions
A contractor discovers that a building permit was issued in error and the project violates setback requirements. According to Georgia regulations, what is the contractor's primary obligation?
A contractor employs workers in both construction and office roles. The construction rate is 11.2 per $100 and office rate is 0.8 per $100. Construction payroll is $85,000 and office payroll is $45,000. What is the total workers compensation premium?
Which situation would require a Georgia contractor to obtain workers' compensation insurance?
A contractor receives a stop work order from the local building official. The contractor continues working despite the order. What is the typical penalty range?
A contractor's license expires on June 30th. They submit a renewal application on July 15th. What additional requirement must they meet?
A Georgia contractor completes work valued at $15,000 on March 1st. The property owner fails to pay. What is the deadline for filing a materialman's lien?
A contractor fails to pay workers' compensation premiums and coverage lapses. An employee is injured the next day. What is the contractor's liability?
A contractor discovers that the local building official is interpreting a code provision differently than expected. What is the proper appeal process in Georgia?
A contractor's annual payroll is $450,000. If the workers compensation rate is 8.5 per $100 of payroll, what is the annual premium?
What is the threshold amount above which a contractor must be licensed in Georgia?
People Also Study
Business & Financial Management
120 questions · 70% to pass
Contract Administration
60 questions · 70% to pass
Project Management
60 questions · 70% to pass