WSIB provides no-fault compensation for Ontario workers, if they are injured in a work-related accident or develop a work-related illness, which is covered under the Workplace Safety and Insurance Act, 1997.
As of January 1, 2013, new mandatory coverage rules for most people in the construction industry came into effect.
Benefits of WSIB coverage
The benefits of WSIB Coverage may include, depending on the situation, in the following:
- Replacement income up to 85% of the net income, starting the day of the work-related injury
- Loss of retirement income benefit
- Coverage for health care costs
- Help injured workers getting back to work safely, including work reintegration and retraining
WSIB Clearance Number
WSIB Clearance Number is required prior to any construction work, which indicates that a business or contractor is registered with the WSIB and their account is in good standing. Almost everyone in the construction industry needs a clearance number, unless a business or contractor does home renovation work exclusively.
The business activities which are defined as "construction services" in Class G are as follows:
- Mechanical and Sheet Metal Work
- Electrical and Incidental Construction Services
- Roadbuilding and Excavating
- Inside Finishing
- Heavy Civil Construction
- Millwrighting and Welding
-Industrial, Commercial and Institutional Construction
- From Work and Demolition
- Siding and Outside Finishing
- Non-Exempt Partners and Executive Officers in Construction
A business or contractors do exclusive home renovation work and who
i) work directly for the occupant or member of their family and
ii) are paid directly by the occupant or member of their family
are exempt from mandatory coverage for Home Renovators themselves.
But, Home Renovators with workers must still cover their workers, and can still apply for Optional Insurance Coverage with WSIB.
Starting January 1, 2014, contractors will face fine of up to $100,000 upon conviction, if they have not registered with WSIB and who do construction work without a valid clearance number. A hiring party is responsible for making sure that party being hired to be registered with WSIB, and a valid clearance number is in place for the full length of work as well as in good standing. Otherwise, the hiring party shall face serious fines and penalties.
When to report and pay premium
Annual insurable earnings lower than $300,000, a hiring company or parties being hired may select the preferred frequency to report and pay premium. However, annual insurable earnings of $300,000 or more, a hiring company or party being hired will report and pay monthly. Each time the actual insurance earnings become higher than the estimated amount, the relevant party must contact the WSIB to update the estimate within 10 calendar days; or otherwise will face penalties and/or prosecution if failure to do so.
Further information can be referred to http://www.wsib.on.ca
Disclaimer: This information is not intended to be construed as a legal advice, but strictly for information only in this entire website. Please contact Trustworthy Legal Service for your independent legal advice in your particular situation. The first consultation is also required prior to my retainer of your case.
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