Do you need a Workers Comp Policy to land a certain job or contract? It is not uncommon. The definition of an employee is so gray many companies will only hire someone that has workers comp. <– PERIOD They police this by requiring a workers comp certificate. If you are small company or even a sole proprietor you may not be required to have workers comp by law. In comes the “GHOST” policy. You buy workers comp, probably exclude yourself and get your certificate. Sounds cheap but the policy minimums you will find are not minimal. The average Ghost policy I write is $900 a year. It is a cost of doing business so be sure to price that into your bid.
During the Dusting of 2014, Snowpocolipse , Gridlock of 2014 or whatever it will be remembered as I kept hearing the phrase “Your insurance will not cover you on a closed road” Some people stating this as fact were in places of prominence. The truth of the matter is I have never seen such a clause. Insurance is a written contract – read it. The fearless leader at Nationwide – Mark Pizzi – is preaching simpler language so non-industry people can read and understand the contracts. I applaud him. As technology gives more and more people the opportunity to choose their own coverage, it must be accompanied with knowledge. I look forward to the progress of insurance simplification. If we nationalize it – I hope it is done by the industry and not the government.