
New Tennessee Workers’ Compensation Law Impacts Construction Industry
According to an update to Tennessee workers’ compensation law effective earlier this year, any company engaged in the construction industry in the state must be prepared to provide proof of workers’ compensation insurance coverage to officials or face immediate fines.
Tennessee is not alone in requiring this type of documentation. Other states have enacted similar rules with varying degrees of impact and severity over recent years. While it may cause some headaches, ultimately this law serves to help contractors have confidence that subcontracted companies are carrying their own workers’ compensation coverage. This should serve to reduce the risk for the general contractor on the job.