Workers Comp Requirements in Texas

Hello everyone. Paul Simon here with the law firm of Simon Paschal in today’s video, we’re going to talk about workers’ compensation as it applies to Texas employers. So as many of you probably already know, Texas does not require an employer to have workers’ compensation. Now a government contractor, a certain businesses, clients, et cetera, may require that you have workers’ compensation to pay on the industry. May also have a requirement to have workers comp, but generally in Texas, an employer is not required to have workers’ compensation.

Now, there still are requirements though that the Texas Department Of Insurance requires an employer to still go through, even if they don’t have a workers’ compensation. And one of those is you must post a notice at work. This is going to be where you have all your other employee notices and you can download this form. We’ll put it the website here under this video, but that form, that notice, just simply says, this employer does not have workman’s compensation, therefore you’re not covered, et cetera, et cetera.

The other requirement is the employers are required to file an annual notice with the Texas Department Of Insurance that they are not covered employers. Again, we’ll give you this link to where you can download the form. It’s a very simple form and the checked box simply says, this company does not have workers’ compensation and you’re required to basically file that between February and April of every year.

For new companies, you’re required to file this within 30 days of hiring your first employee. And then the same form is also used if you used to have workers’ compensation, but then you’ve terminated that policy. And if you terminate the policy, you must file the form within 10 days. So pretty simple, but again, if you don’t follow these requirements, there is penalties involved in that. So just something to keep in mind. One more thing you have to follow. So that’s your tip for the day. Thanks!


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