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<p class="MsoNormal"><span style="color:#1F497D">Employee leasing companies only cover those employees that are on the weekly payroll reports. Undocumented employees, day laborers and uninsured sub-contractors are specifically excluded from the coverage.
There are several ways to avoid this uninsured exposure:<o:p></o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
<ol style="margin-top:0in" start="1" type="1">
<li class="MsoNormal" style="color:#1F497D;mso-list:l0 level1 lfo1">Have the employee leasing company “carve out” the workers compensation exposure, then obtain a standard workers compensation policy in the open marketplace. The standalone workers compensation
polices can be purchased on a reporting form basis and are usually many times less expensive than what the employee leasing company is charging;<o:p></o:p></li><li class="MsoNormal" style="color:#1F497D;mso-list:l0 level1 lfo1">Have the employee leasing company endorse a “minimum earned workers compensation policy.” Most employee leasing companies have this capability. However, the minimum premium is usually around
$10,000; or<o:p></o:p></li><li class="MsoNormal" style="color:#1F497D;mso-list:l0 level1 lfo1">Have the GC refrain from day labor and enforce a stringent workers compensation certificate program to mitigate the uninsured exposure (most difficult option).<o:p></o:p></li></ol>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
<p class="MsoNormal"><span style="color:#1F497D"><o:p> </o:p></span></p>
<div>
<p class="MsoNormal"><i><span style="font-family:"Georgia","serif";color:#485C71">Rafael A. Pérez | Attorney<o:p></o:p></span></i></p>
<p class="MsoNormal"><i><span style="font-family:"Georgia","serif";color:#485C71">Board Certified Construction Attorney</span></i><span style="font-family:"Georgia","serif";color:#485C71"><br>
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</span><a href="http://"><span style="font-size:7.5pt;font-family:"Helvetica","sans-serif";text-decoration:none"><img border="0" width="247" height="38" id="Picture_x0020_1" src="cid:image003.jpg@01CF3D4D.798AF640" alt=" "></span></a><span style="font-family:"Georgia","serif";color:#485C71"><br>
<br>
</span><span style="font-size:10.0pt;font-family:"Helvetica","sans-serif";color:#485C71">806 S Douglas Rd, STE 625 | Coral Gables, FL 33134<br>
T 305.442.2214 | F 305.442.2291<br>
<a href="http://www.mcper.com/">www.mcper.com</a> | <a href="mailto:rperez@mcper.com">
rperez@mcper.com</a> <o:p></o:p></span></p>
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<p class="MsoNormal"><b>From:</b> clc-discussion-bounces@lists.flabarrpptl.org [mailto:clc-discussion-bounces@lists.flabarrpptl.org]
<b>On Behalf Of </b>Sakwa, Stuart H.<br>
<b>Sent:</b> Tuesday, March 11, 2014 11:09 AM<br>
<b>To:</b> clc-discussion@lists.flabarrpptl.org<br>
<b>Subject:</b> [CLC-Discussion] Employee Leasing Worker's Comp. Coverage<o:p></o:p></p>
</div>
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<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">I have a General Contractor client that is having repeated problems with Subcontractors who provide Worker’s Comp. Cert. of Ins. from an Employee Leasing company that specifies some individuals who are covered under the WC policy, but then
the Subcontractor sends out other employees who are not on the list. The problem is becoming more prevalent as more Subcontractors use these leasing companies. <o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<p class="MsoNormal">Any suggestions on how the General Contractor can address the issue on an global basis, rather than having his superintendents do daily checks of the subcontractor work force.<o:p></o:p></p>
<p class="MsoNormal"><o:p> </o:p></p>
<div>
<p class="MsoNormal"><b><span style="font-size:12.0pt;font-family:"Century Gothic","sans-serif";color:#00009C">Stuart H Sakwa<br>
</span></b><span style="font-size:10.0pt;font-family:"Century Gothic","sans-serif"">Attorney at Law</span><span style="font-size:12.0pt;font-family:"Times New Roman","serif""><o:p></o:p></span></p>
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<p class="MsoNormal"><b><span style="font-size:10.0pt;font-family:"Century Gothic","sans-serif"">Board Certified in Construction Law</span></b><span style="font-size:12.0pt;font-family:"Times New Roman","serif""><o:p></o:p></span></p>
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<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Century Gothic","sans-serif"">515 North Flagler Drive
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<p class="MsoNormal"><span style="font-size:10.0pt;font-family:"Century Gothic","sans-serif"">Phone: 561.650.8484 | Fax: 561.802.3082</span><span style="font-size:12.0pt;font-family:"Times New Roman","serif""><o:p></o:p></span></p>
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