Enforcement Provisions (440.107, F.S.)
The Division of Workers' Compensation enforces employer compliance. Investigators conduct inspections and may issue a Stop-Work Order, ceasing all business operations if the employer lacks the required Florida workers' compensation coverage. The Division will also assess a penalty equal to 1.5 times the amount the employer would have paid in premium within the preceding three-year period.
A Stop-Work Order may also be issued if an employer understates or conceals payroll, misrepresents or conceals employee duties or otherwise attempts to avoid paying workers' compensation premiums. Such actions could also result in criminal charges and penalties.
In order for the division to release a Stop-work order, an employer will be required to provide evidence of compliance and pay the assessed penalties. Pursuant to section 440.107(11), F.S., the Division may initiate lien proceedings to collect any penalty due that has not been paid. In addition, the Department may refer any unpaid penalty that is due to a collection agency for the initiation of proceedings to collect the unpaid penalty. It is against the law to:
- Work in violation of a Stop-Work Order.
- Make a false statement for the purpose of obtaining coverage or to reduce workers' compensation premiums.
- Fail to report an injury to your insurance carrier.
- Discharge or threaten to discharge an employee for filing or attempting to file a workers' compensation claim.
- Deduct workers' compensation premiums from employees' pay.
- Misclassify an employee as an independent contractor.
Out-of-State Employer Requirements
- An out-of-state construction industry employer must notify its insurance company that it has employees working in Florida.
- An out-of-state construction industry employer with employees working in Florida must have a Florida workers' compensation insurance policy, or an endorsement to its out-of-state contractor's policy that lists Florida in section 3.A. of the policy.
- A Florida contractor working in this state who contracts with an out-of-state sub-contractor must require proof of a Florida workers' compensation policy or an endorsement to the out-of-state employer's policy that lists Florida in section 3.A. of the policy. Otherwise, the Florida contractor's policy must include the out-of-state sub-contractor and their employees per Chapter 440.10 (1) (g), F.S.
Online Penalty Payment Service
The Division of Workers' Compensation has implemented an online Penalty Payment Service for employers that have been issued a Stop-Work Order or Order of Penalty Assessment. This service allows you to pay your entire penalty in full or to pay the monthly installments that are required in your periodic payment plan. The Penalty Payment Service is convenient, simple to set up, and easy to use. See the Instructional Manual for general information about the online service and step-by-step instructions for setting up an online payment account. To make an online penalty payment, access the following links:
Non-Compliance Referral Database - To report an employer you suspect has illegally failed to secure workers' compensation insurance coverage for all of the employer's employees, complete this form.
Order Database - Allows the user to view information on
employers who have received a Stop-Work Order based upon a
determination that the employer has failed to secure the payment of
workers' compensation. The database includes the following
information for each stop-work order: the employer's name, the date
of the stop-work order, the non-compliance violation, and the
release date of the stop-work order.