MEMORANDUM - June 10, 1996

New Statutory Requirements regarding Issuance of Building Permits and Workers' Compensation Insurance Coverage

 


TO: AFL-CIO, CBIA, Chambers of Commerce, City & Town Building Inspectors/Officials, City & Town Mayors/ Selectmen/General Managers, City & Town Planning & Zoning Boards/Commissions, CT Conference of Municipalities, Construction Industry Associations, State Department of Public Works, State Department of Transportation, State Treasurer Investigations Unit, Unions, WC Advisory Board, WC Legal Advisory Board, Workers' Compensation Commissioners
FROM: Jesse M. Frankl, Chairman
DATE: June 10, 1996
RE: New Statutory Requirements regarding Issuance of Building Permits and Workers' Compensation Insurance Coverage

 

Public Act 96-216 (An Act Concerning Workers' Compensation Enforcement) was enacted during the course of the Spring Legislative Session of the Connecticut General Assembly. This Act clarifies and amends provisions originally enacted last year in PA 95-277.

To assist you in meeting the new statutory requirements regarding the issuance of building permits and workers' compensation insurance coverage, the Workers' Compensation Commission would like to notify you of the following:

  • Effective June 4, 1996, local building officials MUST, before issuing any building permit pursuant to §29-263 C.G.S., require proof of workers' compensation insurance coverage FOR ALL EMPLOYEES (AS DEFINED IN SECTION 31-275) WHO ARE EMPLOYED BY AN EMPLOYER (AS DEFINED IN SECTION 31-275) who are engaged to perform services on the site of the construction project for which the permit is being issued, REGARDLESS OF THE COST OF THE PROJECT
     
  • Effective June 4, 1996, this "proof of workers' compensation coverage" requirement DOES NOT APPLY to a sole proprietor or a property owner, UNLESS SUCH SOLE PROPRIETOR OR PROPERTY OWNER IS ACTING AS A GENERAL CONTRACTOR OR AS A PRINCIPAL EMPLOYER
     
  • Effective June 4, 1996, a property owner intending to perform all of the construction work himself NO LONGER NEEDS TO CERTIFY SUCH FACT IN WRITING in lieu of providing proof of workers' compensation coverage
     
  • Effective June 4, 1996, "proof of workers' compensation coverage" means ONE of the three following pieces of documentation:

(1) a written certificate of insurance provided by the general contractor or principal employer

(2) a certificate from the Workers' Compensation Commissioner indicating that the general contractor or principal employer has properly chosen not to obtain workers' compensation coverage pursuant to Section 31-275 [NOTE: Even if a partner or a corporate officer chooses to exclude himself pursuant to Section 31-275, he STILL NEEDS PROOF OF WORKERS' COMPENSATION COVERAGE FOR ALL THOSE HE EMPLOYS ON THE JOB SITE other than himself personally.]

OR

(3) if a property owner or sole proprietor intends to act as a general contractor or principal employer, a written certificate of insurance OR a sworn notarized affidavit, which he shall provide, stating that he will require proof of workers' compensation insurance for all those employed on the job site in accordance with the provisions of the Workers' Compensation Act
 

  • Effective June 4, 1996, a local building official must require proof of workers' compensation coverage ONLY AT THE TIME OF THE GENERAL CONTRACTOR'S OR PRINCIPAL EMPLOYER'S INITIAL APPLICATION FOR THE BUILDING PERMIT — however, if a building official has reason to believe that coverage has lapsed, become improper, or has been dropped since the building permit was issued, he should contact the Investigations Unit of the State Treasurer at 1-800-566-5888

For more information, you may contact your local Workers' Compensation Commission District Office or call the Commission's Education Services at 1-800-223-9675 (toll-free in Connecticut) or (860) 493-1500.