Enterprise clients and labor platforms leverage our solution to save on insurance compliance monitoring and to offload balance sheet risk.
A note to contractors
1099Policy was built to address the cyclical nature of contractor work and the high upfront insurance premiums that often get in the way of securing the next job. You can find our solution on the platforms you use every day to find work. If you’re a contractor on a labor platform that would benefit from what we’ve built, contact us. We’re working tirelessly to expand our footprint so we’re available wherever you find work.
When you do find us in the wild, one thing you will notice right away is that you only purchase coverage for the length of your assignment, whether that’s two hours, two days or two weeks. Our priority is to get you to work without delay, with coverage that’s a fraction of the annual coverage currently available in the market. Know that we make money by earning a commission on policy sales, similar to a traditional broker (or direct-to-carrier) model.
API & Enterprise Dashboard
We aim to expand the labor pool for our enterprise customers by giving stakeholders in the contractor ecosystem access to our API and dashboard to simplify vetting and unblock contractors to go about the business of doing work. If you have unique needs, we can work with you to tailor a plan that meets your business requirements.
What’s included:
Enterprise
Invoices and receipts available for easy company reimbursement
How is 1099Policy structured?
1099Policy is a d/b/a of 1099Policy Insurance Agency, LLC (the Company) licensed by the California Department of Insurance to operate as an insurance brokerage (effective July 24th, 2019). 1099Policy Insurance Agency, LLC is owned by 1099Policy Inc.
How does 1099Policy make money?
1099Policy earns a commission on each policy that it facilitates between the insured (buyer of the policy) and the insurance company that issues the policy. Enterprise customers pay a fee to use the 1099Policy API and dashboard.
Does 1099Policy provide coverage to independent contractors in all states?
Yes. 1099Policy will act as a broker in all states, where possible. Insurance is regulated at a state level, so there are some places like North Dakota, Ohio, Washington and Wyoming, for example, where workers' compensation can only be purchased through a government operated insurance company. That applies only to workers' compensation. Liability insurance can be sold in those states. Workers' compensation and liability insurance will be sold in all other states, regulations permitting.
Does 1099Policy cover independent contractors working outside of the U.S.?
Not at this time but we hope to in the future.
How does 1099Policy calculate the daily premium amount that independent contractors on my platform pay?
The insurance company sets the rates which can then be debited or credited based on individual risk characteristics.
How do independent contractors on my platform make their premium payments?
The best way to pay the insurance premium is as-you-go. 1099Policy facilitates this by connecting to the Vendor Management System (VMS) or Managed Service Provider (MSP) funding source from where payroll is processed. Because the VMS and MSP operate as the source of truth for record keeping purposes (i.e. days worked, scope of work, etc.), which determines cost of the 1099 contractor's insurance policy, this arrangement is the most efficient for all parties – it avoids redundant data entry and unnecessary steps while allowing everyone to focus on what they do best.
What information does 1099Policy collect from the contracting firm and how do you use it?
From the contracting firm, we require detailed job descriptions, the amount of remuneration to be paid and the insurance that will be required of the independent contractor. Some contracting firms will require liability and worker compensation, while others will also require professional liability insurance. If available, 1099Policy will also collect the name and address of the prospective independent contractor. To that end, we do what we can to collect the majority of information from existing sources solely for the purpose of issuing an accurate policy. We save the independent contractor time by pre-populating information that already exists on the contracting platform (i.e., freelance management system, vendor management system, temp staffing platform, etc.)
What information does 1099Policy collect from the independent contractor and how do you use it?
Only the information that isn’t available on the contracting platform. 1099Policy is designed to require only a minimal amount of new information from the independent contractor. The information is used to manage the insurance pool and is shared with only the necessary insurance companies, and third party service provides (i.e. reinsurers) necessary in the administration of the insurance program.
Do insurance partners and underwriters have access to the contracting entity and independent contractor data?
Yes. Without sharing the contracting entity and independent contractor data with partner insurance carriers, we'd be unable to carry out day-to-day insurance processes, including: payment of claims and actuarial analysis necessary to the prudent administration of the insurance pool, among other things.
If independent contractors on my platform have employees, are those employees also covered by 1099Policy?
Yes. 1099Policy can procure coverage for those small businesses, but not through our API.
Can independent contractors on my platform increase and decrease coverage?
Coverage can be increased, but it cannot be decreased lower than that which is minimally required by the contractor entity.
How does an independent contractor cancel their coverage?
The independent contractor can cancel and renew their policy via the 1099Policy API. Since we provide insurance on a pay-as-you-go basis, more often than not it doesn’t cost the independent contractor more to keep the policy in-force while in between job assignments. Note that there are costs associated with filing workers compensation policies with the state insurance departments that aren't refunded when the independent contractor cancels their workers' compensation policy specifically.
Can independent contractors on my platform switch from their existing insurance policy to 1099Policy?
Yes. The contracting firm benefits from having the independent contractor's policy monitored and vetted for compliance, simply by being on the 1099Policy platform. Contracting firms can be assured of the qualitative and quantitative measure of the coverage before any independent contractor is enrolled.
Which insurance partners do you work with?
1099Policy works with many of the top rated, well known insurance carriers in the market.
Does 1099Policy offer a comprehensive insurance policy that will cover all independent contractor risks?
No one can say “all” – it would be misleading. What we can say is that the policies will be as broad as that required by the contracting firm. Remember, the contracting firm sets the coverage. Once they do, our platform ensures that the policy is comprehensive. Independent contractors should, as all policyholders, review the coverage and ask questions as necessary.
How do independent contractors on my platform file a claim?
Claims should be submitted online at claims@1099policy.com. Claims are then forwarded to our partner insurance companies. The insurance companies all have claim departments with well established procedures to help resolve your claim.
How are independent contractors on my platform paid for a claim?
Claims are paid directly by the insurance company. Independent contractors will be contacted by an insurance company designated claim representative that will help resolve claims.
How fast will a claim be paid?
As expeditiously as possible. Workers' compensation claims work on a different time frame than liability claims, so there is no one answer. Suffice it to say that 1099Policy only partners with carriers that have a strong track record of being as responsive as possible. The overriding goal is to protect the policyholder.