Understanding the WSIB Clearance Certificate: A Complete Guide
: Without a valid clearance, a principal can be held liable for any unpaid WSIB premiums or other amounts owed by their contractor, up to the value of the labor portion of the contract. wsib clearance certificate
| Purpose | Explanation | |---------|-------------| | | Protects hiring firms from being deemed the employer for WSIB. | | Compliance Verification | Confirms the subcontractor is registered and premiums paid. | | Risk Management | Prevents surprise claim costs or premium assessments. | | Legal Requirement | Mandatory under WSIB policies for construction contracts. | | Project Continuity | Required by many general contractors and project owners before work begins. | | | Risk Management | Prevents surprise claim
Under Section 11 of the WSIA, if a contractor hires a subcontractor who is not registered with the WSIB or who has not paid premiums, the principal contractor or project owner can be deemed the employer for WSIB purposes. This means they are liable for: | Under Section 11 of the WSIA, if
The primary purpose of a clearance certificate is to .
The Workplace Safety and Insurance Board (WSIB) Clearance Certificate is a mandatory document in Ontario’s construction and certain other industries. It certifies that a business is registered with the WSIB and has paid all outstanding premiums or has a valid payment agreement. The certificate protects contractors, subcontractors, and project owners from liability for workplace injuries. Failure to obtain or verify clearance can result in significant financial penalties, legal liability for injury costs, and project shutdowns.