Many owners and managers of restaurants, bakeries, hotels, motels and country clubs focus on food and service and are ashamed of logistics. If you own or operate a company in the hospitality industry in New York State, you probably already know that paperwork does not end and cannot be ignored. New York requires all companies with one or more employees to purchase workers' compensation insurance.
Insurance can be purchased through NYSIF (New York State Insurance Fund), general trading or mutual insurance. Companies can also enjoy self-coverage or be part of the self-coverage group, but the rules and regulations are very strict. When looking for coverage, each company must assign a code number to each worker created by the New York Compensation Insurance Classification Board, NYCIRB. The symbols are listed in a 35-page document that lists hundreds of symbols. Each code assigns a number that evaluates the risk level for any particular function. Workers' compensation insurance premiums are determined by these codes.
Proper coverage of workers' compensation is necessary, especially in the hospitality industry. Workplace accidents occur and state law protects companies from civil suits and pays 100% of the medical expenses of injured workers and part of their salaries. Companies that do not have adequate coverage or coverage may face fines and fines. However, rendering wrong codes or overpaying due to incorrect code usage does not provide better coverage.
It is important that you take the time to assign codes to all workers before the end of a certain time period and begin mandatory review. The reviewer will assign the highest code applicable to each worker, but if the worker performs different types of work within the specified period, it is likely to be covered under several different codes. Keeping accurate notebooks and structured paperwork will produce the most positive results with respect to premium pricing. This article began stating that many restaurant and hotel owners prefer to focus on food and service, not symbols and regulations. There are now experts helping companies in New York, New Jersey and Connecticut with all workers compensation regulations. Remember, NYSIF will not take time to search for codes to help you get the best prices. Many companies exaggerate to cover their operating companies. This affects the whole point. Be sure to spend time learning about the procedures so that your company gets the best coverage for the highest prices.