Who is automatically covered by workers’ compensation? All workers in mandatory industries are covered, no matter how old they are, and directors that report employment income on a Canada Revenue Agency T4 income tax slip.
The funds needed to cover the cost of WCB benefits and services are collected from registered employers in the form of premiums. Premium rates are per $100 of assessable payroll based on the maximum assessable earnings set each year.
Once registered, you are charged annually for your workplace insurance coverage. The WCB provides benefits to a maximum insurable wage. Report each worker’s gross earnings only to the current insurable maximum per year set by WCB legislation.
A letter of good standing will tell the principal if the contractor has an account with the WCB and if all premiums are paid. A clearance is a letter from the WCB that tells the principal that they can make a payment to a contractor for completed work.