Insureon Blog

Workers' Comp Fines for Non-Payment Top $124,000 for Ohio Woman

7. January 2015 07:19

dejected businesswoman

An Ohio court brought the hammer down on a business owner who failed to report her employees to state agencies, according to a report by Insurance Journal. The case goes from mundane to face-palm-worthy in two seconds flat:

Ohio doesn’t play around when it comes to punishing these types of violations. (For that matter, neither does New York, West Virginia, or the Department of Labor.) Like many states, Ohio law requires employers to carry Workers’ Compensation Insurance. Furthermore, Ohio is one of the few remaining states that operate a monopolistic state Workers’ Comp fund – employers can’t purchase coverage from a private insurer; they have to purchase it from the state. You can read more about that in the post, “What Is a State Compensation Insurance Fund?

And here’s where the story becomes a cautionary tale. The court…

In total, Porter was charged with aggravated theft, tampering with evidence, workers’ compensation fraud, and four counts of forgery. It’s also worth noting that she neglected to pay Workers’ Comp premiums for just two years, and still her total cost comes to $139,573.07.

The takeaway? The punishment for Workers’ Comp Insurance violations is not a slap on the wrist. Let’s recap why this coverage such an important investment for your small business.

Workers’ Compensation Coverage: The Mark of a Law-Abiding and Conscientious Employer

Maybe the fear of fines is enough to motivate you to purchase Workers’ Comp coverage as soon as you hire employees. But there are other incentives to carry the coverage even if it weren’t state mandated:

To learn more about Workers’ Comp benefits, laws, and claims, be sure to check out our Workers’ Compensation Insurance blog series.


Small Business | Small Business Risk Management | Tips for All Small Businesses | Workers' Compensation Insurance

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