Occupational Accident (Occ/Acc) Overview
Occupational Accident Insurance, also known as Occ/Acc, was created for the trucking industry, given its focus on independent contractor truck drivers. They were not eligible for workers’ compensation programs mandated by the states for employees. Today, however, Occ/Acc has found many new applicable markets in the GiG economy, protecting the millions of part-time contractors, Uber drivers, shoppers, delivery people, and yes, caddies.
It’s a product designed specifically for owner-operators in the trucking industry. In most states, by being self-employed, owner-operators can opt-out of state-mandated workers’ compensation coverage. While not the same as workers’ compensation, Occ/Acc is similar in scope and intent. Most motor carriers require their leased operators to be covered either by Workers’ Compensation or Occ/Acc at the leased operator’s expense.
While Occupational Accident Insurance and Workers’ Compensation serve a similar purpose (i.e., compensating workers hurt on the job), they do diverge in distinct ways.
In a nutshell, Workers Compensation provides coverage in case of accidents and injuries sustained by your hired employees. IC caddies are not eligible. Occupational Accident Insurance provides similar benefits, but to independent contractors – i.e., caddies.
All Independent Contractors under the Policy must:
- Be under contract with CaddieNow to provide Caddie Service(s)
- Classified and treated as an Independent Contractor by CaddieNow and not as an employee
- Receive an IRS Form 1099 for federal income tax reporting purposes, not a W-2
- Book all their loops via a technology platform; reported/audited each month to confirm loops/premiums
High-Level Details on the Policy are listed below:
- Accident Medical Expense Benefit tied to on the job injury
- Accidental Death Benefit and Survivor’s Benefit
- Accidental Dismemberment Benefit
- Paralysis Benefit
These coverages purchased by the caddie (via the golfer – caddie transaction) insure the caddies for injury, and neither the club nor the golfer/member have any exposure for on the job injury.