Ontario WSIB ‘exemption’ for renovators is so easy to loseBusiness Commercial Coverage Insurance Liability Property
WSIB will hammer you for money if, as a renovation contractor, you do even one commercial job. What renovation contractor hasn't been asked to do work in a store, or a restaurant, or a doctor's or dentist's office, or some other commercial establishment? A money grab from the bureaucrats, no question.
Since the Jan. 1 introductory of mandatory WSIB in Ontario for independent operators, sole proprietors, partners in partnerships and even officers of firms, the new WSIB law has really begun to bite, based on the calls and questions coming into our offices.
It’s still in my opinion a money grab by WSIB. It forces the self-employed to pay premiums to an insurance plan that few will ever make a claim from. This gives WSIB a nice chunk of money to put towards their huge “unfunded liability” (over $14-billion, when last reported). This is being done on the backs of honest, hard-working contractors. All this does is fuel the underground economy.
But what about this exemption for home renovators?
Remember, if you are hired directly by a homeowner and paid directly by them to complete work in their main place of residence, you do not need to register with WSIB. (The exact wording on the WSIB website is: “Home renovators who do not have workers and contract directly with the person occupying the residence and work exclusively in home renovations work are exempt from the mandatory coverage legislation.”)
Keep in mind you will lose this exemption forever if you do even one commercial or industrial job. Furthermore, if the homeowner has a rental home property and they want you to complete work there, that property is a business, meaning if you work there, you will lose your exemption with WSIB since you will be doing commercial work.
Any commercial work that you take on: goodbye WSIB exemption. Nice, huh?
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