Payroll Determination for Sole Proprietors, Partners of Legal Partnerships & Members of an LLC
Effective October 1, 2016 the basis of premium for sole proprietors, partners of a legal partnership, and members of an LLC who elect to become employees and obtain workers compensation insurance is $47,000. Refer to Circular Letter #2297.
The Department of Industrial Accidents (DIA) Assessment rates effective July 1, 2016 have been announced. Refer to Circular Letter #2288 for details.
The Commissioner of Insurance has approved a Stipulation for the general revision of workers’ compensation rates, effective 12:01 A.M., July 1, 2016, applicable to new and renewal policies. The stipulation includes an overall average increase of 1.5% in the existing workers’ compensation average rates and will vary by class. Rating values in the Experience Rating Plan and the Retrospective Rating Plan will be revised, as well as premium credits in the Massachusetts Benefits Deductible Program and Massachusetts Benefits Claim and Aggregate Deductible Program. Refer to Circular Letter #2279 for the list of revised items.
The rates and rating values effective 7/01/2016 are available by selecting Rates and Miscellaneous Values in Manuals - Rates - Rating Values.
Terrorism Risk Insurance Program Reauthorization Act of 2015
The National Council on Compensation Insurance Inc.’s (NCCI) Terrorism Risk Insurance Program Reauthorization Act Disclosure Endorsement (WC 00 04 22 B) has been approved for use by Massachusetts workers’ compensation insurers effective January 1, 2015. Refer to Circular Letter #2252.
The Terrorism Risk Insurance Program Reauthorization Act Disclosure Endorsement (WC 00 04 22 B) is mandatory for all policies effective on or after January 1, 2015 and is available on NCCI’s website under Industry Information/Terrorism Risk Insurance/Resources.
Processing Fee for Hard Copy AR Application Submissions
Any producer submitting a MA WC Assigned Risk Pool application using the hard copy (mail, walk-in, or third party delivery) application process will be subject to a
$10 processing fee per application. The $10 service fee should not be submitted with the application; rather the producer group will be billed for these fees on a quarterly basis.
There is no processing fee for applications submitted through OAR our online assigned risk application.
Audit Guidelines for Sole Proprietor and Partnership Certificates of Insurance
Refer to Circular Letter #2199 issued July 3, 2012.
Massachusetts Independent Contractor / Misclassification Law
The Attorney General's Office has released an Advisory on the Massachusetts Independent Contractor/Misclassification Law (M.G.L. c. 149, s. 148B). The Commonwealth’s Independent Contractor Law was designed to protect workers and ensure a level playing field among employers. The Advisory articulates the purposes of the law and provides guidance on the three prong test and other areas of the Law. In addition, the Advisory includes Enforcement Guidelines describing the areas of concern and factors which may be used by the Attorney General's Office in making a determination about enforcement.
Advisory on the Massachusetts Independent Contractor Law issued May 1, 2008
2004 Advisory from the Attorney General