The cost of not carrying workers' comp: $1.5M
Here’s a company that learned that a very expensive lesson about workers’ comp insurance: Employers who choose not to carry it and refuse to heed stop-work orders face harsh penalties for their choices.
Here’s what happened: Ultimate Tours, LLC and Godwin Glacier Tours, LLC failed to carry workers’ comp and knowingly misclassified its employees as independent contractors to avoid paying workers’ comp premiums.
The tour company also ignored stop-work orders that the Alaska Workers’ Compensation Board issued for its failure to insure employees.
As a result, Ultimate Tours, LLC and Godwin Glacier Tours, LLC were charged a $1.5 million civil penalty by the Alaska Workers’ Compensation Board.
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