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Pennsylvania House of Representatives
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House Co-Sponsorship Memoranda

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House of Representatives
Session of 2015 - 2016 Regular Session


Posted: September 25, 2015 01:01 PM
From: Representative Marc J. Gergely
To: All House members
Subject: Home Contractors
I will soon be introducing legislation amending the Home Improvement Consumer Protection Act to require home contractors to provide proof of insurance coverage that may be required under the Workers’ Compensation Act.

As you may know, under the Workers’ Compensation Act, all employers are required to maintain insurance that provides medical and wage loss benefits to employees who suffer work-related injuries or illnesses. In return, the act limits legal remedies that may be taken against employers. Nonetheless, some employers fail to obtain this important insurance coverage or avoid obtaining coverage by misclassifying workers as independent contractors. Should workplace injuries occur in these instances, workers must resort to receiving needed medical treatment and income through an already overburdened, publicly-administered, default insurance program, known as the Uninsured Employers Guaranty Fund (UEGF). And unfortunately, recent examination of the UEGF has shown that workers in the construction industries have had to make heavy use of it.

Therefore, my legislation seeks to bring increased awareness to home contractors’ responsibilities under the Workers’ Compensation Act, ensuring that these employers are reminded of their obligations when they join the Attorney General’s home contractor registry. Specifically, my legislation would require home contractors to agree to insure employees as required under the Workers’ Compensation Act and provide proof of any policies covering existing employees.

I hope you will join me in sponsoring this measure. Should you have any questions, please feel free to contact my office at 783-1018.

Introduced as HB2080