Independent Contractor Workers Compensation Waiver Colorado

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Independent Contractor Workers Compensation Waiver Colorado: What You Need to Know

As an independent contractor in Colorado, you may be asked to sign a workers` compensation waiver. But what does this mean, and is it a good idea? In this article, we`ll explore the ins and outs of independent contractor workers compensation waivers in Colorado.

What is Workers` Compensation?

Workers` compensation is insurance that employers must carry to provide benefits to employees who are injured on the job. This can include medical expenses, lost wages, and disability benefits. If you`re an employee, you`re covered by workers` compensation.

However, as an independent contractor, you`re not considered an employee. This means you`re not covered by workers` compensation unless you opt to purchase your own policy.

What is a Workers` Compensation Waiver?

A workers` compensation waiver is a document that waives your right to workers` compensation benefits if you`re injured on the job. This means that if you`re injured while working as an independent contractor, you won`t be covered by your client`s workers` compensation policy, and you won`t be able to file a claim for benefits.

Why Would You Sign a Workers` Compensation Waiver?

You may be asked to sign a workers` compensation waiver by a client who wants to avoid paying workers` compensation premiums for you. If you sign the waiver, they won`t have to include you in their workers` compensation policy, which can save them money.

However, signing a workers` compensation waiver can be a risky decision. If you`re injured while working as an independent contractor and you don`t have your own workers` compensation policy, you may be responsible for paying your own medical expenses, lost wages, and other costs associated with your injury.

Should You Sign a Workers` Compensation Waiver?

Whether or not you should sign a workers` compensation waiver depends on a variety of factors. If you`re comfortable assuming the risk of not having workers` compensation coverage, you may choose to sign the waiver.

However, if you`re concerned about the financial impact of a workplace injury, it`s wise to consider purchasing your own workers` compensation policy. Some clients may require you to have your own policy, especially if you`re working in a high-risk industry.

If you`re unsure whether or not to sign a workers` compensation waiver, it`s a good idea to consult with an attorney who can help you understand your rights and responsibilities as an independent contractor in Colorado.

The Bottom Line

As an independent contractor in Colorado, you may be asked to sign a workers` compensation waiver. While this may seem like a simple administrative task, it`s important to understand the potential consequences of signing such a waiver. Ultimately, the decision to sign a workers` compensation waiver should be made after careful consideration of your personal circumstances and legal advice.