While it is against the law to run a business with employees and not have Workers’ Compensation insurance coverage, many employers fail to secure insurance coverage. If you are injured while working for one of these employers who has failed to secure Workers’ Compensation coverage, a State entity called the Uninsured Employers Fund (UEF) can pay your claim just as an insurance carrier would.

The UEF can then attempt to secure reimbursement for benefits paid to the injury worker from the uninsured employer. In the Capital District Area in New York State, a large percentage of uninsured employers are in the construction and/or roofing business.

Uninsured employers often argue that the person who is injured was not an employee but an independent contractor. When this issue is raised by an uninsured employer, the claim will usually require litigation before an Administrative Law Judge. This type of litigation can be especially slow as uninsured employer cases are only heard on special Workers’ Compensation calendars.