Workers’ Compensation for Trucking Companies
How workers’ compensation applies to trucking companies: drivers, warehouse and office staff, owner-operators, payroll and what to prepare for a quote.
Who is covered, how payroll and job classifications work, and how owner-operators differ from employee drivers.
Employees and owner-operators are treated differently
Drivers who are on your payroll are generally employees, and workers’ compensation rules apply according to your state’s requirements. Owner-operators and independent contractor drivers are usually handled differently; they are generally not covered by workers’ compensation and often look at occupational accident coverage instead.
Whether someone is an employee or a contractor is decided by the law and the facts of the working arrangement, not only by what the paperwork calls them. If you are unsure, get advice before you classify drivers.
Roles a trucking business may need to cover
Each type of work has its own job classification, which is why accurate duty descriptions matter.
- Drivers employees driving company trucks.
- Dock and warehouse staff loading, forklift and yard work.
- Mechanics and maintenance shop employees.
- Dispatch and office clerical work is classified separately and is usually rated lower.
How the premium is built
Workers’ compensation premium is based mainly on payroll in each classification, the rate for that classification, and your experience modification (your claims history compared with similar businesses). See our guide to cost factors for the details.
Things trucking operators should watch
- Multi-state work employees who work outside your home state may be subject to other states’ rules.
- Subcontractors and lease operators uninsured subcontractor payroll can be added at audit; keep certificates of insurance.
- Payroll audits keep payroll records, tax filings and 1099s organized.
What to have ready for a quote
- Business details legal name, DBA, address, FEIN, years in business and a description of operations.
- Employees total, full-time and part-time counts, job duties and number per classification.
- Payroll and states average weekly payroll and the states where employees work.
Questions
Do I need workers’ comp for owner-operators who lease to my company?
It depends on how they are classified and on your state’s law. Owner-operators are often not covered by workers’ comp, but rules vary and misclassification can be costly. Ask us or your attorney about your arrangement.
Can I get workers’ comp and trucking insurance together?
You can request both. Many trucking businesses review their drivers, shop and office staff together with their truck coverage. Send both quote requests or call us.