Exemption Eligibility Review for business owners
Not everyone qualifies for a workers' comp exemption — and filing incorrectly can trigger audits or penalties. We review your business structure, state, and industry to confirm eligibility before you file.
What it covers
- Business structure analysis (sole prop, LLC, corporation)
- State-specific exemption rule review
- Industry classification and exemption eligibility check
- Ownership percentage verification
- Current exemption status audit
- Compliance gap identification and recommendations
Who it's for
- Business owners unsure whether they qualify for an exemption
- Companies that filed exemptions in the past and aren't sure they're still valid
- Businesses that changed structure (converted from sole prop to LLC, etc.)
- Contractors about to be audited who want to verify their exemption status
Why CCA
- We review your full compliance picture — not just one filing
- We identify gaps before an auditor does
- We give you a clear action plan, not just a yes or no
Common questions about exemption eligibility review
Exemption rules change, businesses evolve, and what qualified 3 years ago may not qualify today. An eligibility review confirms your current status is valid — catching problems before an audit or penalty rather than after.
We review your business structure, ownership percentages, industry classification, state of operation, current exemption filings (if any), and renewal status. We identify any gaps and advise on what needs to be corrected or updated.
Most reviews are completed in one call or within 24 hours. Complex multi-entity or multi-state situations may take a bit longer, but we move quickly and give you clear answers rather than vague guidance.
We advise on your options — whether that's filing the correct exemption, placing a ghost policy in the interim, or obtaining workers' comp coverage to close the gap immediately. We help you get compliant without penalty if possible.
Yes — especially if your business has changed (added owners, changed structure, entered construction work, added employees). Long-standing exemptions that no longer meet current requirements are one of the most common audit triggers.
Our filing fees vary by state and complexity. State filing fees (if any) are typically $50–$100. We charge a service fee for handling the paperwork, documentation, and submission. Call us for current pricing — it's far less than the cost of a workers' comp policy.
Yes. Contractors Choice Agency is licensed in all 50 states and files workers' comp exemptions for sole proprietors, corporate officers, and LLC members nationwide.
Typically we can complete the filing within 1–3 business days of receiving your documentation. State processing times vary — Florida, for example, typically approves exemptions within a few weeks.
We review the denial reason, advise whether you have grounds to appeal or correct the filing, and help you pursue the right path — whether that's refiling, appealing, or placing a ghost policy in the interim.
A ghost policy and an exemption serve different purposes. An exemption removes you from WC requirements. A ghost policy gives you a COI while maintaining your exempt status. Many business owners use both — an exemption plus a ghost policy for COI purposes.
A.M. Best ratings reflect a carrier's financial strength. When we place alternative coverage or ghost policies for exempt business owners, we use A-rated carriers so the coverage is real and the COI will be accepted by general contractors and clients.
Yes. Occupational accident insurance is one of the primary alternatives for exempt business owners who want injury protection without workers' comp. We place occupational accident policies with carriers that specialize in this coverage.
We can review your current exemption status, confirm the filing is on record with your state, and check the renewal date. Many business owners discover their exemption lapsed when they get audited — we prevent that proactively.
Typically: your business name and EIN, state of operation, business structure (sole prop, LLC, corporation), ownership percentage, industry/work type, and the names and ownership percentages of all owners being exempted.
Generally no — your exemption is valid in the state where it was filed. If you work in multiple states, you may need exemptions in each state, or we may recommend a ghost policy that provides multi-state COI coverage.
Yes. Construction is the most common restricted industry — many states have stricter rules or exclusions for construction work. Some states also restrict exemptions in healthcare, staffing, and other high-hazard industries.
If you hire W-2 employees after filing an exemption, your exemption may no longer cover you — and workers' comp becomes required for your employees. We advise you on how to structure coverage when your workforce changes.
Once your exemption is approved and in effect, you can typically cancel the underlying workers' comp policy (if you had one). We advise on the correct timing and help you avoid lapses or penalties during the transition.
Yes. We review your current exemption, assess whether you have the right alternative coverage in place, and advise on any changes to state rules that may affect your status. An annual compliance review is a best practice for exempt business owners.
Pair it with related coverage
Ready to file your workers' comp exemption?
Get guidance in 15 minutes from specialists who know your state's exemption rules — sole proprietors, corporate officers, LLC members, and ghost policies.