Workers' compensation gets less attention than general liability in most subcontractor vetting conversations, but the exposure it protects against is arguably more direct: if an uninsured sub's worker is injured on your job site, the GC can end up holding the liability the sub's missing policy should have covered. Verifying workers' comp properly takes a few extra minutes beyond glancing at a certificate — and those minutes matter.
Why a COI alone isn't enough
A certificate of insurance is a snapshot generated by the sub's insurance agent at a point in time — it can be outdated, describe a policy that's since lapsed for non-payment, or in rarer cases be altered. None of that shows up by looking at the PDF itself. The only way to know a policy is genuinely active today is to confirm it independently.
How to actually verify coverage
- Call the insurance carrier listed on the COI directly, using a number you look up yourself — not one printed on the certificate
- Ask the carrier to confirm the policy number, effective dates, and that it's currently active (not just issued)
- Confirm the named insured on the policy matches the legal business name in your contract, not a similar-sounding entity
- For higher-risk trades or larger jobs, request an updated COI dated within the last 30 days rather than relying on one from months earlier
State-by-state variation catches people off guard
Workers' comp requirements aren't uniform — some states mandate coverage for any business with a single employee, others set employee-count thresholds, and a few states allow certain owner-operators to exempt themselves from their own coverage. A sub operating legally without workers' comp in one state might be non-compliant if they take on work in a state with stricter rules, so don't assume a policy that was sufficient on a past job automatically covers this one.
What happens without it
If a subcontractor's worker is injured on site and the sub carries no active workers' comp policy, the injured worker (or their attorney) can often pursue the general contractor directly, since the GC is typically considered the statutory employer up the chain in many states' workers' comp frameworks. That exposure — medical costs, lost-wage claims, potential litigation — is exactly what verifying coverage upfront is meant to prevent.
Owner-operators and small crews need a closer look
Solo subcontractors or very small crews are the most common source of coverage gaps, since some states let sole proprietors and certain LLC members opt out of covering themselves. That exemption typically doesn't extend to any employees they later bring on for a bigger job — confirm coverage matches the actual crew size showing up on your site, not just the entity structure on paper.
Building this into your process
Treat workers' comp verification as a standing step before any sub starts work, not a one-time check at initial vetting — request a current COI at project kickoff even for subs you've used before, since coverage can lapse between jobs. Keeping this consistent, rather than case-by-case, is what actually closes the gap.
Verification built into Sub-Finder profiles
Sub-Finder verifies business registration, identity, and licensing on every subcontractor profile, giving you a strong starting baseline before you make the workers' comp verification call yourself — the step above still matters, but you're not starting from zero on every prospect.
FAQ
**Is workers' comp required in every state?** No — requirements vary by state and sometimes by employee count. Check your specific state's rules rather than assuming a national standard.
**Can I just trust a COI without calling the carrier?** You can, but it carries risk — COIs can be outdated or describe lapsed coverage, and calling the carrier takes only a few minutes.