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Michigan |
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Workers Compensation Insurance FAQs |
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Q. Is Workers Compensation mandatory? |
| A. In
Michigan, all firms are subject to the Workers Compensation statute and
all are required to carry Workers Comp insurance. |
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Q. Are there any exceptions? |
| A. The
only exception is that coverage is voluntary for employers with no full
time and no more than three part time employees There
are, however, special rules that apply to partners, sole proprietors,
and corporate officers. |
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Q. What are these special rules? |
| A. If
all employees are partners, the partnership may reject coverage. If all employees are corporate officers
who own at least 10% of the stock, then the corporation may reject coverage.
Sole proprietors may not be covered.
A signed form must be
filed with the Michigan WC Bureau to reject coverage. |
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Q. What if a corporate officer does
not take a salary? |
| A. Unlike
many states, Michigan does not have minimum and maximum payrolls for corporate
officers. The actual payroll
is used. |
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Q. What does an injured worker receive? |
| A. All medical bills are paid and if
the worker cannot work for an extended period of time, disability benefits
are paid up to a maximum of $
580.00 per week. |
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| Disclaimer: The information is accurate to the best of our knowledge.
These rules and dollar amounts are, however, subject to change. You should not depend on this information until it has
been verified with your insurance agent or company. |
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| Source: This information was compiled from the 1999 Analysis
of Workers' Compensation Laws published by the US Chamber of Commerce
and from the on-line resources of the National Council on Compensation
Insurance. |
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© 1999 - 2003 Horenberg Insurance Services, Inc. |