By Adrian Middleton, Sword & Shield, PLLC · Updated Monday, October 19, 2026
The ways to secure coverage
| Subsection | Method | Who uses it |
|---|---|---|
| (1)(a) | A policy with a stock company, mutual company, association or exchange authorized to do business in Florida | Nearly every private employer; includes assigned-risk coverage through the Florida Workers' Compensation Joint Underwriting Association |
| (1)(b) | Self-insurance, on proof of financial strength to the Florida Self-Insurers Guaranty Association and Department authorization, with security deposits, reinsurance and actuarial reports | Large employers |
| (1)(c), (e) | Contracts with a public utility's or an individual self-insurer's approved program | Utility contractors, affiliates |
| (1)(d) | Local government self-insurance pools under an interlocal agreement | Cities, counties, districts |
| (6) | State agencies, political subdivisions and universities are deemed self-insured unless they buy insurance | Public employers |
Employee leasing
A professional employer organization, or employee-leasing company, secures coverage for leased workers under its own policy. The arrangement is valid only for employees actually reported to and accepted by the leasing company. A crew member who was never enrolled with the PEO is uninsured, and the Division checks the PEO's roster during a stop-work order investigation.
The Florida endorsement
Subsection (7) requires an employer that insures through an out-of-state policy to maintain coverage under a Florida endorsement using Florida rates and rules for employees working in Florida. Section 440.10(1)(g) makes it a second-degree felony to insure Florida employees under a policy not issued or endorsed for Florida in order to avoid Florida rates. An out-of-state contractor with a home-state policy and no Florida endorsement is an uninsured employer here, and the stop-work order issues on that finding.
Deductibles and coinsurance
Subsection (5) requires carriers to offer deductibles of $500, $1,000, $1,500, $2,000 or $2,500 per claim, and coinsurance at 80 percent carrier and 20 percent employer up to a $21,000 limit. These reduce premium without affecting whether coverage is 'secured'; a deductible policy is full coverage for section 440.10 purposes.
Carriers and adjusters
Subsection (4) bars any carrier from writing workers' compensation without a certificate of authority from the Office of Insurance Regulation and requires an in-state claims adjuster while claims are open. A certificate of insurance from an entity that is not an authorized carrier, which happens with some out-of-state and captive arrangements sold to contractors, is not coverage. Verify the carrier on the Office of Insurance Regulation's company search and the policy on the Division's proof-of-coverage database.
Reported coverage versus real coverage
The Division's database is what the investigator sees. If the policy is real but the carrier never reported it, or reported it under a different entity name or FEIN, the screen says 'no coverage found' and the order issues. Check the database the day the policy binds.
Served because the Department's database did not show your policy? That is a records case we win on paper.
(850) 766-6825Free consultationRead the official text of s. 440.38, Fla. Stat. This page explains the statute; it does not reproduce it. Quote the statute.
Questions
Does my Georgia workers' comp policy cover my crew on a Florida job?+
Only with a Florida endorsement using Florida rates and rules under section 440.38(7). Without it the employer is uninsured in Florida, and buying a non-Florida policy to avoid Florida rates is a second-degree felony under section 440.10(1)(g).
Is a PEO the same as having my own policy?+
For the workers enrolled with the PEO, yes. For anyone paid outside the leasing arrangement, no. Section 440.107(7)(d)1.a recognizes a PEO's written confirmation of the workers' comp portion of the initial payment for the premium credit.
What is the Florida Workers' Compensation Joint Underwriting Association?+
The assigned-risk plan for employers that cannot find coverage in the voluntary market. Its policies are coverage with an authorized carrier under section 440.38(1)(a).