The Day Everything Changes

Hiring your first employee is exciting. You are growing, you need help, and you are ready to build a team. But that first hire triggers immediate changes to your insurance requirements and risk exposure.

The policies that protected you as a solo operator are not designed for employers. Some gaps need filling before your new hire’s first day.

Workers Compensation: Day One Requirement

The moment you have an employee, you need workers comp. Not next week – before they start work.

Texas does not legally require workers comp, but operating without it is enormously risky. Without coverage, injured employees can sue you directly. Texas law actually favors employees in these lawsuits. One serious injury could end your business.

Employer’s Liability

Workers comp policies include employer’s liability coverage for certain lawsuits workers comp does not address.

Employment Practices Liability

With employees comes employment practices exposure. Discrimination, harassment, wrongful termination – these claims come from inside your organization and are more common than expected.

General liability does not cover employment claims. EPLI does.

Updating General Liability

Your general liability premium is typically based partly on payroll. Adding employees means your premium increases and you need to notify your insurer.

Commercial Auto Considerations

Will your employee drive for work? Company vehicles need them covered as drivers. Personal vehicles used for business errands need hired and non-owned auto coverage.