{"id":2461,"date":"2023-08-21T17:25:08","date_gmt":"2023-08-22T00:25:08","guid":{"rendered":"https:\/\/contractorslicensingschools.com\/blog\/?p=2461"},"modified":"2023-09-18T18:08:35","modified_gmt":"2023-09-19T01:08:35","slug":"new-workers-compensation-law-for-c-8-c-20-c-22-and-d-49-license-holders-in-2023","status":"publish","type":"post","link":"https:\/\/contractorslicensingschools.com\/blog\/new-workers-compensation-law-for-c-8-c-20-c-22-and-d-49-license-holders-in-2023\/","title":{"rendered":"New Workers&#8217; Compensation Law For C-8, C-20, C-22 and D-49 License Holders In 2023"},"content":{"rendered":"<p><span style=\"font-weight: 400;\"><a href=\"https:\/\/contractorslicensingschools.com\/blog\/wp-content\/uploads\/2023\/09\/shutterstock_1584196597.jpg\"><img loading=\"lazy\" decoding=\"async\" class=\"alignnone size-full wp-image-2480\" src=\"https:\/\/contractorslicensingschools.com\/blog\/wp-content\/uploads\/2023\/09\/shutterstock_1584196597.jpg\" alt=\"\" width=\"1000\" height=\"667\" srcset=\"https:\/\/contractorslicensingschools.com\/blog\/wp-content\/uploads\/2023\/09\/shutterstock_1584196597.jpg 1000w, https:\/\/contractorslicensingschools.com\/blog\/wp-content\/uploads\/2023\/09\/shutterstock_1584196597-300x200.jpg 300w, https:\/\/contractorslicensingschools.com\/blog\/wp-content\/uploads\/2023\/09\/shutterstock_1584196597-768x512.jpg 768w, https:\/\/contractorslicensingschools.com\/blog\/wp-content\/uploads\/2023\/09\/shutterstock_1584196597-624x416.jpg 624w\" sizes=\"auto, (max-width: 1000px) 100vw, 1000px\" \/><\/a>If you\u2019re a concrete, HVAC, asbestos abatement, or tree service contractor, you probably know about SB 216 and its impact on your trade.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">SB 216 was signed into law in 2021, but became effective on January 1, 2023, and if you\u2019re a part of\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The new law says that contractors with the C-8, C-20, C-22, and D-49 license classifications will be required to have workers&#8217; compensation insurance \u2013 even if you don\u2019t have any employees!\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">That\u2019s right \u2013 if you fall into any of these trades, it is now mandatory for you to have workers\u2019 comp insurance in the State of California, as enforced by the CSLB, and the punishments are <\/span><i><span style=\"font-weight: 400;\">severe.<\/span><\/i><\/p>\n<p><span style=\"font-weight: 400;\">Don\u2019t worry though \u2013 there\u2019s plenty of time to make sure you comply with the law and continue on with your Class C or Class D license. Here\u2019s all you need to know about SB216 \u2013 and how you can stay compliant.<\/span><\/p>\n<p>&nbsp;<\/p>\n<h2><span style=\"font-weight: 400;\">Which Contractors Are Affected by the New Law?<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">As mentioned earlier, only certain Class C and Class D contractor license classifications are affected by SB 216.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">These classifications include:<\/span><\/p>\n<ul>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">C-8: Concrete<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">C-20: Warm-Air Heating, Ventilating and Air-Conditioning<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">C-22: Asbestos Abatement<\/span><\/li>\n<li style=\"font-weight: 400;\" aria-level=\"1\"><span style=\"font-weight: 400;\">D-49: Tree Service<\/span><\/li>\n<li aria-level=\"1\"><\/li>\n<\/ul>\n<h2><span style=\"font-weight: 400;\">What is Workers&#8217; Compensation Insurance?<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Workers&#8217; compensation insurance is a type of insurance that provides benefits to employees who are injured or become ill as a direct result of their job.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">In California, employers are required to carry workers&#8217; compensation insurance for their employees. The coverage includes medical expenses, lost wages, and other benefits.<\/span><\/p>\n<p>&nbsp;<\/p>\n<h2><span style=\"font-weight: 400;\">How Much Workers&#8217; Compensation Insurance Coverage is Required?<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">The amount of workers&#8217; compensation insurance coverage, as outlined in the CSLB bulletin from November of last year, says that \u201cfor every $100 in payroll, a contractor must have $1.57 in workers&#8217; compensation insurance coverage.\u201d\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">If you\u2019re a solo contractor, the math is easy. For example, if you make $10,000 a month, you\u2019d have to cover $1,570 in workers compensation. That doesn\u2019t mean you\u2019re <\/span><i><span style=\"font-weight: 400;\">paying<\/span><\/i><span style=\"font-weight: 400;\"> $1,570 per month, only that you need that much coverage. The cost of monthly coverage is a fraction of the actual coverage amount.<\/span><\/p>\n<p>&nbsp;<\/p>\n<h2><span style=\"font-weight: 400;\">When Does SB 216 Go Into Effect And What Happens If You\u2019re Caught Without Workers\u2019 Comp Insurance?<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Although technically SB 216 is in effect right now, you will not face any penalties until July 1, 2023 \u2013 when the new law becomes enforceable. If you are without insurance right now, but need to get it, it\u2019s okay, you\u2019ve got time!<\/span><\/p>\n<p><span style=\"font-weight: 400;\">According to the CSLB, failure to comply will result in the suspension or revocation of their license. Contractors who do not comply with the law may also be subject to penalties and fines, in addition to any legal punishments that come from doing unlicensed work.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">At the end of the day, it\u2019s not worth it to avoid following the new law. If you take the CSLB at their word, they will be watching contractors with these licenses like a hawk to make sure you have workers\u2019 compensation insurance.\u00a0<\/span><\/p>\n<p>&nbsp;<\/p>\n<h2><span style=\"font-weight: 400;\">The Bottom Line<\/span><\/h2>\n<p><span style=\"font-weight: 400;\">If you have a C-8, C-20, C-22, and D-49 license classification, you must have workers&#8217; compensation insurance coverage in place by July 1, 2023, to avoid penalties and fines.\u00a0<\/span><\/p>\n<p><span style=\"font-weight: 400;\">It&#8217;s essential that you understand the requirements of this new law and take the necessary steps to comply with it. You have plenty of time to get the requisite insurance \u2013 but don\u2019t procrastinate, as you could lose your license quickly!<\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>If you\u2019re a concrete, HVAC, asbestos abatement, or tree service contractor, you probably know about SB 216 and its impact on your trade.\u00a0 SB 216 was signed into law in 2021, but became effective on January 1, 2023, and if you\u2019re a part of\u00a0 The new law says that contractors with the C-8, C-20, C-22, &#8230; <a title=\"New Workers&#8217; Compensation Law For C-8, C-20, C-22 and D-49 License Holders In 2023\" class=\"read-more\" href=\"https:\/\/contractorslicensingschools.com\/blog\/new-workers-compensation-law-for-c-8-c-20-c-22-and-d-49-license-holders-in-2023\/\" aria-label=\"Read more about New Workers&#8217; Compensation Law For C-8, C-20, C-22 and D-49 License Holders In 2023\">Read more<\/a><\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[220],"tags":[],"class_list":["post-2461","post","type-post","status-publish","format-standard","hentry","category-contractor-business"],"_links":{"self":[{"href":"https:\/\/contractorslicensingschools.com\/blog\/wp-json\/wp\/v2\/posts\/2461","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/contractorslicensingschools.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/contractorslicensingschools.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/contractorslicensingschools.com\/blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/contractorslicensingschools.com\/blog\/wp-json\/wp\/v2\/comments?post=2461"}],"version-history":[{"count":0,"href":"https:\/\/contractorslicensingschools.com\/blog\/wp-json\/wp\/v2\/posts\/2461\/revisions"}],"wp:attachment":[{"href":"https:\/\/contractorslicensingschools.com\/blog\/wp-json\/wp\/v2\/media?parent=2461"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/contractorslicensingschools.com\/blog\/wp-json\/wp\/v2\/categories?post=2461"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/contractorslicensingschools.com\/blog\/wp-json\/wp\/v2\/tags?post=2461"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}