Coverage for Independent Contractors
Owner-Operators of Commercial Motor Vehicles Operating as Independent Contractors
In South Dakota, truckers who own and operate their own truck, road tractor or truck tractor may be certified as an independent contractor for workers' compensation insurance purposes. An individual, partner or corporate shareholder who owns a vehicle licensed and registered as a truck, road tractor or truck tractor by a governmental agency and who operates as an independent contractor may elect to participate in this state's worker's compensation system as a sole proprietor.
Alternatively, an owner-operator and the motor carrier to whom the owner-operator's vehicle is leased may mutually agree that the owner-operator will be covered under the motor carrier's workers' compensation insurance policy or authorized self-insurance, if the owner-operator agrees to pay the premiums requested by the motor carrier. (See South Dakota Codified Law (SDCL) 62-1-13.)
Before applying for certification as an independent contractor, you must meet these requirements:
Per SDCL 62-1-11, to receive certification as an independent contractor, the owner-operator and the carrier shall provide written documentation that the following are substantially present:
The Department shall issue an independent contractor certification if all the requirements are met by the owner-operator. The laws regarding owner-operators being licensed as independent contracts are found in SDCL 62-1-10 through 62-1-13. The rules regarding the issuance or denial of an independent contractor certification are found at Administrative Rules of South Dakota (ARSD) 47:03:07.
Apply for Certification as and Independent Contractor
Independent Contractor Verification Form (complete online, then print for mailing)
The information provided on this Web page should in no way be considered legal advice. For specific information about your legal rights, you should consult your personal attorney. If you have a general question, contact us.
South Dakota Department of Labor and Regulation
Division of Labor and Management
123 W. Missouri Ave.
Pierre, SD 57501