FL HOA Workers Comp — Volunteers & Vendors

Florida HOAs need workers comp for employees and volunteer board members. Vendor certificates protect against contractor injury claims. Free board review.

Frequently Asked Questions

Does our condo association need workers' comp if we have no employees?

In most cases, yes. Even without direct employees, your association can be held liable as a 'statutory employer' under Florida law if an uninsured contractor or their worker is injured on your property. An 'if any' workers' compensation policy (also called a ghost policy or minimum premium policy) protects your association from this exposure at a very low cost, typically $500 to $1,200 per year.

What is an 'if any' or ghost workers' compensation policy?

An 'if any' policy is a workers' compensation policy designed for businesses or associations that have no direct employees but want protection against claims from uninsured contractors. It provides coverage 'if any' employee is ever on payroll and, more importantly, protects the association from being deemed the statutory employer of an uninsured contractor's workers. It is also sometimes called a minimum premium policy.

When is a Florida association required to carry workers' compensation?

Florida law (Chapter 440) requires workers' compensation coverage when a business has four or more employees. For construction-related work, coverage is required with just one employee. Even if your association falls below these thresholds, carrying an 'if any' policy is strongly recommended because the statutory employer doctrine can make your association liable for uninsured contractor injuries regardless of employee count.

What happens if our association does not have workers' comp and a contractor's worker gets injured?

Without workers' compensation coverage, your association could be deemed the statutory employer of the injured worker. This means the association would be responsible for all medical expenses, lost wages, and disability benefits. These costs can easily reach tens or hundreds of thousands of dollars. The injured worker could also potentially sue the association for negligence, adding legal defense costs on top of the claim.

What are the penalties for not having workers' compensation in Florida?

Florida takes workers' compensation non-compliance seriously. Penalties include an immediate stop-work order (shutting down all business operations), a fine of $1,000 per day for each day the association operates without coverage, and a penalty equal to twice the manual premium the association would have paid over the preceding 12 to 24 months. In severe cases, criminal charges can also apply.

Does workers' comp cover volunteer board members?

Standard workers' compensation policies do not automatically cover volunteers. However, you can add a Voluntary Compensation Endorsement to your policy that extends coverage to volunteer board members, committee members, and community event helpers. This is especially important for associations where volunteers participate in clean-up days, maintenance projects, or community events where injuries could occur.

How much does workers' compensation cost for a condo or HOA association?

For associations with no direct employees, an 'if any' policy typically costs between $500 and $1,200 per year. For associations with employees (maintenance staff, security, management), the cost depends on total payroll, job classifications, and claims history. Maintenance and grounds-keeping classifications carry higher rates than clerical or management roles. We can shop 40+ carriers to find you the most competitive rate.

How do we verify that our contractors have workers' compensation?

Before allowing any contractor to work on your property, request a Certificate of Insurance (COI) showing active workers' compensation and general liability coverage. Verify the policy dates are current and that your association is listed as a certificate holder. Be aware that some contractors may obtain coverage to get the job and then cancel it, so consider requesting automatic cancellation notifications from the contractor's insurer.

Get a free quote or call (904) 900-5063 — Atesa Risk Advisors, independent Florida insurance brokerage.