A certificate of insurance (COI) confirms coverage existed when it was issued, but that doesn't guarantee coverage is still active. If an uninsured subcontractor's worker is injured on your job site, your business could be responsible for the claim, and the subcontractor's payroll could be added to your premium audit.
Fortunately, verifying workers' comp coverage is free, public, and can be done quickly and easily.
Step 1: Access the Coverage Verification Tool
Step 2: Search the Subcontractor
Enter the business name or FEIN. The coverage date defaults to today, or you can set it to the date you need to confirm. Spelling matters, so use the legal business name.
Step 3: Open the Matching Result
Click the subcontractor’s name to see the carrier, policy number, and covered locations for the date you searched.
TIP: Track Coverage Changes
Click “Track” to receive notifications on policy changes.
Once you register your email, you’ll get a notice if that policy is cancelled or reinstated during the policy period. It names the subcontractor you searched, the policy number, and the effective date of the change.
This is how you catch a lapse before an injury does.
Why It Matters
Louisiana Law Can Make You the Employer
Under the state’s statutory law, a business that contracts out work that is part of its trade, business, or occupation and is considered manual labor can be responsible for compensation benefits owed to the subcontractor’s injured worker, as if the worker is on your payroll.
Uninsured Subcontractors Show Up at Audit
When a subcontractor cannot show coverage for the work period, those wages or payroll can be treated as your payroll at premium audit. You pay for the exposure if insurance is not in place.
A Certificate of Insurance (COI) Is a Snapshot
Coverage can end the week after the paperwork is issued, and nothing on that paper changes. Long jobs and repeat crews are where gaps hide.
Remember: Verify coverage before the first day of work.
FAQs
Why should I verify my subcontractor’s workers’ comp coverage?
If a subcontractor doesn't have workers’ comp coverage, your business could be responsible for benefits owed to an injured worker. Verifying coverage helps protect your business from unexpected claims and potential premium audit costs.
Is there a cost to verify workers' comp coverage?
No. Workers' comp coverage verification is free and available to the public. You can search by a subcontractor's business name or FEIN to confirm coverage for a specific date.
Is a certificate of insurance (COI) enough to confirm coverage?
A COI confirms coverage existed when the certificate was issued, but policies can be cancelled or changed. Verifying coverage directly helps you confirm whether a policy was in effect on a specific date.
When should I verify a subcontractor’s coverage?
It's best to verify coverage before a subcontractor begins work. For longer projects or ongoing relationships, tracking coverage changes can help you stay informed about potential lapses.
What happens if my subcontractor doesn't have workers’ comp coverage?
Depending on the circumstances, your business could be responsible for workers’ comp benefits if a subcontractor’s employee is injured. Additionally, uninsured subcontractor payroll may be included in your premium audit, potentially increasing your premium.
Can I receive notifications if a subcontractor’s coverage changes?
Yes! The coverage verification tool allows you to track a subcontractor’s policy. By registering your email, you can receive notifications if the policy is cancelled or reinstated during the policy period.
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