Legal Question in Workers Comp in New York
workmans comp
Can I be a finacial backer or silent partner and still recieve workmans comp?
1 Answer from Attorneys
Re: workmans comp
As a very general rule, you can be partner in a business and you can even work while you are on compensation as long as you report it to the Compensation Carrier and you are not earning wages or profits in excess of your average weekly wage on the date of your accident. Section 114-a (insurance fraud) allegations are almost always found in favor of the insurance company and a favorite argument is that you were working and not reporting it. The term work is very liberally construed. The Board has interpreted it to mean not only work for wages, but work-like activities such as volunteering to help at a family business for no pay. If you do get paid back for being a financial backer, the insurance company may ask to see your tax records to see if you are making substantial income. Be very careful. I would seriously recommend consulting with a lawyer before proceeding.