AFFIDAVIT OF EXEMPTION
WORKERS' COMPENSATION INSURANCE
APPLICABLE STATUTORY PROVISIONS
Excerpts
Construction Licensing Requirement: § 287.061. 1. Any city or county which issues an occupational or business license for a
contractor in the construction industry shall require a certificate of insurance for workers' compensation coverage or an
affidavit, the form of which shall be developed by the division, signed by the applicant attesting that the contractor is exempt.
No city or county shall have the duty to investigate any certificate of insurance or affidavit filed pursuant to this section.
2. Any contractor who fails to comply with the provisions of subsection 1 of this section shall be denied such a license until he
or she furnishes a certificate of insurance.
3. It is unlawful, pursuant to section 287.128, for any contractor to provide fraudulent information pursuant to this section.
Definition of Employer: § 287.030.1. The word "employer" as used in this chapter shall be construed to mean:
(1) Every person, partnership, association, corporation, limited liability partnership or company, trustee, receiver, the legal
representatives of a deceased employer, and every other person, including any person or corporation operating a railroad and
any public service corporation, using the service of another for pay;
(2) The state, county, municipal corporation, township, school or road, drainage, swamp and levee districts, or school boards,
board of education, regents, curators, managers or control commission, board or any other political subdivision, corporation, or
quasi-corporation, or cities under special charter, or under the commission form of government;
(3) Any of the above-defined employers must have five or more employees to be deemed an employer for the purposes of this
chapter unless election is made to become subject to the provisions of this chapter as provided in subsection 2 of section
287.090, except that construction industry employers who erect, demolish, alter or repair improvements shall be deemed an
employer for the purposes of this chapter if they have one or more employees. An employee who is a member of the employer's
family within the third degree of affinity or consanguinity shall be counted in determining the total number of employees of
such employer.
Sole Proprietor and Partner Exclusion: § 287.035. 1. The benefits provided by this chapter resulting from work-related
injuries shall apply to partners or sole proprietors, only when such partners or sole proprietors have individually elected to
procure insurance policy protection for themselves against injuries sustained while in the pursuit of their vocation, profession
or business.
Corporate Exemption (Two Owners/Employees): § 287.090. 5. A corporation may withdraw from the provisions of this chapter,
when there are no more than two owners of the corporation who are also the only employees of the corporation, by filing with
the division notice of election to be withdrawn. The election shall take effect and continue from the date of filing with the
division by the corporation of the notice of withdrawal from liability under this chapter. Any corporation making such an
election may withdraw its election by filing with the division a notice to withdraw the election, which shall take effect thirty
days after the date of the filing, or at such later date as may be specified in the notice of withdrawal.
Criminal Penalties: § 287.128. 1. It shall be unlawful for any person to:
(8) Knowingly make or cause to be made any false or fraudulent material statement or material representation for the
purpose of obtaining or denying any benefit;
3. Any person violating any of the provisions of subsections 1 and 2 of this section or section 287.129, shall be guilty of a class
A misdemeanor and, in addition, shall be liable to the state of Missouri for a fine not to exceed ten thousand dollars or double
the value of the fraud whichever is greater. Any person who has previously pled guilty to or has been found guilty of violating
any of the provisions of subsections 1 and 2 of this section or the provisions of section 287.129 and who subsequently violates
any of the provisions of subsections 1 and 2 of this section or the provisions of section 287.129 shall be guilty of a class D
felony.
4. Any person who knowingly misrepresents any fact in order to obtain workers' compensation insurance at less than the
proper rate for that insurance shall be guilty of a class A misdemeanor. Any person who has previously pled guilty to or has
been found guilty of violating any of the provisions of this section or the provisions of section 287.129 and who subsequently
violates any of the provisions of this section or the provisions of section 287.129 shall be guilty of a class D felony.
5. Any employer failing to insure his liability pursuant to this chapter shall be guilty of a class A misdemeanor and, in
addition, shall be liable to the state of Missouri for a penalty in an amount equal to twice the annual premium the employer
would have paid had such employer been insured or twenty-five thousand dollars, whichever amount is greater. Any person
who has previously pled guilty to or has been found guilty of violating any of the provisions of this section or the provisions of
section 287.129 and who subsequently violates any of the provisions of this section or the provisions of section 287.129 shall
be guilty of a class D felony.
