Division of Insurance: Carriers Are Pursuing Misclassification too Aggressively

While states across the nation look for ways to reduce the number of workers improperly classified as independent contractors, South Dakota is tackling the opposite problem – ensuring that payers aren’t assuming all workers are employees. Merle Scheiber, director of the state Division of Insurance, sent out a memorandum to workers’ compensation insurers Friday saying he’s received reports that “workers’ compensation insurers have been charging premium for bona fide independent contractors.” “They review the (policyholder) with a physical a...