New York workers’ comp and subcontractor insurance requirements
What general contractors, property managers and other businesses hiring subcontractors in New York need to know: who has to carry workers’ comp, when you’re on the hook for an uninsured sub, and what to collect before work starts.
New York at a glance
| Who must carry workers’ comp | Nearly all employers with 1 or more employees. |
|---|---|
| Where coverage comes from | Private insurers, plus self-insurance where approved |
| Regulator | New York State Workers’ Compensation Board |
Are you liable for an uninsured sub in New York?
If a subcontractor is uninsured, the contractor that hired it is liable for its employees (Workers’ Compensation Law § 56).
Separately, your own workers’ comp premium auditor may charge you for an uninsured sub’s payroll. Collecting a current certificate for every sub is the simplest protection. See workers’ comp audits and uninsured subcontractors, or estimate the cost with the workers’ comp audit calculator.
New York-specific things to know
- The Board doesn’t accept an ACORD 25 alone as proof of workers’ comp. Collect form C-105.2 (private carrier), U-26.3 (State Insurance Fund) or SI-12 (self-insured), plus DB-120.1 for disability and paid family leave. Sole proprietors with no employees use CE-200.
- New York’s Labor Law § 240 (the “Scaffold Law”) puts strict liability on owners and contractors for many gravity-related injuries. It’s why New York GCs insist on additional insured status and high limits, and many use the ACORD 855 construction addendum.
What to collect from subcontractors in New York
- A certificate of insurance, usually an ACORD 25, showing GL, auto, umbrella and workers’ comp.
- Exemption paperwork for sole proprietors or officers who claim they don’t need workers’ comp under New York rules.
- Additional insured and waiver of subrogation endorsements for higher-risk trades. See waiver of subrogation on workers’ comp.
- A renewal certificate before each policy expires. See COI expiration.
Common contract minimums
These aren’t set by New York law. They’re typical subcontract requirements that you can adjust by trade and project size.
| Coverage | Typical minimum |
|---|---|
| General liability | $1M each occurrence / $2M aggregate, additional insured, primary and non-contributory |
| Auto liability | $1M combined single limit |
| Umbrella / excess | $1M–$5M+, by trade risk and project size |
| Workers’ comp / employers’ liability | Statutory / $500K–$1M each, waiver of subrogation |
Generate requirements by trade with the subcontractor insurance requirements generator.
Frequently asked questions
Is workers’ comp required in New York?
Nearly all employers with 1 or more employees. Confirm details with the New York State Workers’ Compensation Board.
Is a general contractor liable for an uninsured subcontractor in New York?
If a subcontractor is uninsured, the contractor that hired it is liable for its employees (Workers’ Compensation Law § 56).
What insurance should I require from subcontractors in New York?
State law sets workers’ comp rules; your contract sets everything else. Common minimums are general liability of $1M per occurrence and $2M aggregate, auto liability of $1M, workers’ comp with employers’ liability of $500K–$1M, and additional insured status and waiver of subrogation in your favor.
General information, not legal or insurance advice. Last reviewed October 2026. Rules change, so confirm with the New York State Workers’ Compensation Board or a licensed professional.
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