Q – Are business owners covered under NY DBL?
A – Owners/shareholders of Corporations (C-Corps, S-Corps, and Professional Corporations, for example) are considered employees of the corporation and are automatically covered under NY DBL at the same rates as other employees if there are:
•3 or more officers/shareholders
•one or two officers (each owning at least one share of stock) with employee(s)
A – Owners/shareholders of the following types of businesses are not considered employees and are therefore excluded from NY DBL coverage by default:
•Partnerships, LLCs, LLPs (with or without employees)
•Corporations with only one or two officers (each owning at least one share of stock) and no employee(s).
Q – Are my employees who live outside New York and work in my New York-based office covered?
A – If they’re eligible, yes. Coverage is based on where an employee works, not where the employee lives.
Q – Our business is located outside New York but some of our employees perform work in New York. Do we need DBL?
A – If you are an out-of-state employer, you need a DBL policy for your New York employees if you employ one or more individuals each for at least 30 days in a calendar year in New York State.
Q – Are our 1099ers eligible for DBL coverage?
A – True independent contractors and subcontractors are not considered employees under the NYS Disability Benefits Law and are therefore not covered under DBL