Failure To Obtain Workers Compensation

If an employer fails to obtain required coverage and an accident occurs, the injured employee can either file a lawsuit against the employer in civil court or file a claim against the state workers' compensation system. Monetary exposure to a suit in civil court can be extremely significant to the employer. Stop-work orders and fines can be levied in addition to injunction and assessments against the employer. Employers who try and circumvent the law by going "naked" may also expose their personal assets and other business assets as well.