NC H189

Sole proprietors must maintain workers' compensation insurance at all times while performing any work, regardless of whether they employ other employees.

Sole proprietors who obtain workers' compensation insurance through a contract are still required to maintain a separate policy and cannot rely on contract-provided coverage to satisfy this requirement.

Sole proprietors who fail to comply with the insurance requirement are barred from making claims on the workers' compensation insurance policy of another person.

Adds a definition of "sole proprietor" as an individual who does not employ others, solely owns the business, and operates as an independent contractor.

The act is effective upon becoming law, with no specified date of implementation.