Michael Szymoniak Employee Benefits Consultant View Bio

Here are four insurance and employee benefits ideas to consider before you start:

  1. Liability and Property Insurance | After working with your advisors to establish a U.S. entity, your first step is to obtain liability insurance. If you have a physical location in the U.S., you will also want to obtain property coverage. In some cases, the carrier who insures your Canadian operations will also be able to secure coverage in the U.S. However, a U.S. broker can generally provide a more effective solution as they have access to many more U.S. based insurance companies than a Canadian broker.
  2. Auto Insurance Programs | If you will have any company-owned or leased automobiles or trucks in the United States, you must obtain automobile liability coverage through a U.S. based insurance broker. You should also purchase physical damage coverage.
  3. Workers’ Compensation & Disability | In most states, workers’ compensation is required by law and companies with employees who operate without workers’ compensation will be subject to fines. Workers’ compensation provides cash benefits and medical care for workers who are injured or become ill as a direct result of their job. In some states, including New York, statutory disability is also required. Disability benefits provide coverage to employees for an off-the-job injury or illness. Employers can also voluntarily enhance this coverage for the benefit of their employees. Both workers’ compensation and statutory disability must be placed through a U.S. broker with a U.S. insurance carrier.
  4. Employee Benefits | After securing insurance programs required by law, you should consider offering employee benefits to your U.S. workforce. For companies with fewer than 50 employees, health insurance is not a compulsory benefit; however, many small and mid-sized companies offer and contribute to health insurance as a way to attract and retain quality employees. Additional employee benefits such as dental, enhanced disability, and life insurance are also common, and can be paid by the employer and/or the employee. Again, these coverages must be placed through a U.S. broker with a U.S. insurance carrier.

We hope you have found this information helpful as you consider opening a U.S. operation. At Lawley, we have successfully helped many Canadian-owned businesses with insurance and employee benefits solutions for their U.S. operations. We also work with our network to assist in other business services, including human resources, payroll management, and benefits technology.

Already have your insurance programs in place? Perhaps it is time to review your current programs to ensure appropriate coverage and learn about employee benefits options available for your employees. Our team can evaluate your programs and ensure you are purchasing insurance and employee benefits as efficiently as possible.