Georgia Adjuster Practice Test

How does a person become an employee for workers compensation purposes, if they are a partner or sole proprietor?

1. By default under state law

2. By explicitly requesting to be included in coverage

3. By paying additional premiums

4. By applying for employee status

The correct answer is: By explicitly requesting to be included in coverage

To be considered an employee for workers' compensation purposes, a partner or sole proprietor must explicitly request to be included in coverage. This process typically involves the individual informing the insurance company and possibly paying any necessary premiums to secure that status. In many jurisdictions, including Georgia, the law does not automatically grant employee status to partners or sole proprietors; instead, it requires a distinct and conscious decision to opt into coverage. Since partners and sole proprietors are usually classified as self-employed, they are not covered under traditional workers' compensation policies unless they specifically take the steps to include themselves. This decision is significant for ensuring that they receive the benefits associated with workers' compensation, such as medical benefits and wage loss compensation if they suffer an injury while working.