MO HB1486

Limited liability company members may individually elect to reject workers' compensation coverage by providing written notice to the LLC and its insurer, effective January 1, 1997.

LLC members who reject coverage forfeit workers' compensation benefits even if working as employees, unless they rescind the rejection with written notice.

S corporation shareholders with at least 40% ownership interest may elect to reject workers' compensation coverage effective January 1, 2015.

Rejection of coverage by S corporation shareholders is prospective only; rescission entitles the shareholder to benefits accruing only after the insurance company receives the rescission notice.

Failure to provide written rejection notice to the business entity does not invalidate the rejection; forms for rejection and rescission must be developed by the Department of Insurance, Financial Institutions and Professional Registration.