Massachusetts Takes New Steps to Enforce Workers Compensation Coverage Compliance
It has been brought to our attention that the State of Massachusetts has been aggressively policing employers with regard to Workers Compensation insurance.
The Massachusetts State Police, the Massachusetts Department of Industrial Accidents (DIA) and the Massachusetts Department of Transportation (DOT) appear to be working together to ensure that employers provide Workers Compensation insurance for employees in Massachusetts.
One of the means they are utilizing is to request evidence of Massachusetts Workers Compensation coverage during routine DOT safety inspections. During inspections of commercial vehicles, the inspectors do not make a distinction between employers with employees that actually live and/or work in Massachusetts, and employers who are only conducting business in Massachusetts.
One employer has reported that during a DOT safety inspection, the investigator asked the driver to produce evidence of Workers Compensation coverage specific to Massachusetts. The driver did not live in Massachusetts, but was conducting business. The driver was delivering product from Maine to Massachusetts customers, as his employer does four to five days per week. The driver was not able to produce this documentation, and the inspector issued a "Stop Work Order" to the employer, resulting in fines and business disruption.
Based on this new enforcement policy:
The Massachusetts State Police, the Massachusetts Department of Industrial Accidents (DIA) and the Massachusetts Department of Transportation (DOT) appear to be working together to ensure that employers provide Workers Compensation insurance for employees in Massachusetts.
One of the means they are utilizing is to request evidence of Massachusetts Workers Compensation coverage during routine DOT safety inspections. During inspections of commercial vehicles, the inspectors do not make a distinction between employers with employees that actually live and/or work in Massachusetts, and employers who are only conducting business in Massachusetts.
One employer has reported that during a DOT safety inspection, the investigator asked the driver to produce evidence of Workers Compensation coverage specific to Massachusetts. The driver did not live in Massachusetts, but was conducting business. The driver was delivering product from Maine to Massachusetts customers, as his employer does four to five days per week. The driver was not able to produce this documentation, and the inspector issued a "Stop Work Order" to the employer, resulting in fines and business disruption.
Based on this new enforcement policy:
- Employers who previously did not believe they needed Massachusetts Workers Compensation coverage should review this with their insurance agent/broker.
- Employers based outside Massachusetts, conducting business in Massachusetts should provide documentation of Workers Compensation to employees so it can be shown upon request. A copy of your policy declarations page should be kept in the glove box of each vehicle that operates in Massachusetts. It can also be useful in the event a DIA inspector visits a jobsite and requests evidence of Massachusetts Workers Compensation coverage.
Click here to go to the Massachusetts Department of Industrial Accidents website.
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