WorkSafeBC Clearance Letters
What is a WorkSafeBC clearance letter & why do I need one?
A clearance letter is your way to ensure you're protected against having to pay workers compensation premiums in the event of an workplace accident, WorkSafeBC audit or WorkSafeBC job site inspection. Taking on a contractor or individual to do work on your property without proper workers compensation coverage can result in having to pay additional fees to WorkSafeBC or, even worse, paying out a hefty sum in a lawsuit and/or settlement over a workplace injury.
Here is some great advice from WorkSafeBC:
"When it comes to protecting yourself from liability, it is critical to know if a business or contractor you plan to hire is registered with [WorkSafeBC] and in good standing. If you hire a registered subcontractor who is not making required payments to WorkSafeBC, you could be liable for insurance premiums relating to the work or service they provided to you.
To protect your business from additional insurance premiums, always get a clearance letter before and after you receive services from a subcontractor. A clearance letter confirms a business is registered with us and paying its premiums. In order to be absolved of any potential liability related to your subcontractor’s unpaid premiums, you must have a clearance letter from WorkSafeBC, addressed to you, confirming that your subcontractor was "active and in good standing" for the entire period of your contract.
Learn more about coverage needs for contractors and subcontractors here, or browse the other pages in this section to learn more about clearance letters."
Here is some great advice from WorkSafeBC:
"When it comes to protecting yourself from liability, it is critical to know if a business or contractor you plan to hire is registered with [WorkSafeBC] and in good standing. If you hire a registered subcontractor who is not making required payments to WorkSafeBC, you could be liable for insurance premiums relating to the work or service they provided to you.
To protect your business from additional insurance premiums, always get a clearance letter before and after you receive services from a subcontractor. A clearance letter confirms a business is registered with us and paying its premiums. In order to be absolved of any potential liability related to your subcontractor’s unpaid premiums, you must have a clearance letter from WorkSafeBC, addressed to you, confirming that your subcontractor was "active and in good standing" for the entire period of your contract.
Learn more about coverage needs for contractors and subcontractors here, or browse the other pages in this section to learn more about clearance letters."
Requesting a clearance letter from WorkSafeBC
It's fast, easy, and free to request a clearance letter from WorkSafeBC. Any insured contractor should have a WorkSafeBC account number, but you can also search for the company by name if they didn't provide you with an account number. Due to a steady increase in deceit by contractors and individuals regarding WorkSafeBC coverage or account status, we always recommend pulling your clearance letters directly from WorkSafeBC's website. Click the button below to request a clearance letter directly from the WorkSafeBC website.
I've pulled a clearance letter, but what am I looking for?
Once you've pulled your clearance letter from WorkSafeBC you'll want to understand what it's telling you about the contractors account status. You're looking for a company that is "active and in good standing". This means the firm is registered and up to date with its payments. The firm’s clearance is valid only until the date of the firm's last payment, unless the firm has GoldStar clearance status that provides clearance to a future date.
If the status of the firm is anything other than "active and in good standing", be wary. You may be on the hook for WorkSafeBC premiums of 11.29% or more of the total contract's value. If you have questions about your WorkSafeBC clearance letter, we recommend getting in touch with WorkSafeBC directly.
