Vermont

Very few employment situations are exempt from workers compensation coverage. For instance there are no exceptions for non-profits, a limited number of staff, limited hours worked or even for temporary/seasonal service. Minimal exceptions are as follows: casual employment, amateur sports, agriculture /farm work where payroll is less than $10,000 annually, family members living in a home if they do not have wages included in the payroll, work in the home, the sole proprietor, partner owner or partner owners of any business not incorporated or a real estate broker/real estate salesperson on commission.

Vermont Law does not require a single individual acting as a contractor to carry workers compensation insurance. However, any contractor with one or more employees must provide coverage for those employees.

Any contracting business bears the burden of proof in confirming that an individual is an independent contractor and not an employee. In Vermont the law evaluates the issue of whether an individual has independent contractor status on a case by case basis. Significant information defining contractor status includes who controls the work performed, if the work is of the kind usually carried out by an employee of the business or if the work activities are vital to the business?

Failure to obtain required coverage can result in unforeseen costs, administrative sanction, personal liability and/or criminal prosecution. A business may also be forced to close until workers compensation insurance is properly obtained.

In Vermont, if you hire one or more employees on a full or part-time basis, you must provide workers compensation insurance coverage.