What is the purpose of the Independent Contractor Exemption Certificate (ICEC)?
To assure all independent contractors in Montana are in compliance with Montana workers' compensation laws.
Who is required to apply for an ICEC?
All independent contractors who provide their services outside of a fixed business location and have not elected to cover themselves under a workers’ compensation insurance policy. This includes sole proprietors, partnerships, limited liability partnerships, members of Member Managed limited liability companies, and managers of Manager Managed limited liability companies in the construction industry, and truck drivers in any industry.
Why would I want to apply for the ICEC?
If a contractor hires an independent contractor without an ICEC (or workers’ compensation coverage), the contractor is taking a risk and assuming the liability for workers' compensation should an individual be hurt on the job.
Where do I obtain the application forms?
You may download and print the forms located on our website by clicking on the following link: http://erd.dli.mt.gov/workers-comp-regulations/forms.html. You may call our office at (406) 444-9029 if you would like the forms mailed or faxed to you. Or you may go to your local Job Service to pick them up.
What do I need to apply for an ICEC application?
Select the independent contractor exemption application and waiver form that corresponds to your business structure. Complete the forms entirely and have the forms notarized. Provide photocopies of business documentation for the 15 point criteria. Submit a $125 nonrefundable application fee.
How do I renew my ICEC?
We will mail you a renewal application approximately 60 days before your ICEC expires to the last known address on file. The renewal application forms will be preprinted with the information you provided the last time you applied. Please cross out any errors, make the correction in ink and initial the change. The application fee is $125 nonrefundable. You may be required to send in additional business documentation for the 15 point requirement.
How long does it take to process my application?
If you mail the application it can take up to 5-7 business days to process, sometimes longer. You can overnight the application to our physical address using FEDEX or UPS to speed up the mailing time. Do NOT use the US Postal Service to overnight your application to our physical address because your application will be mailed to our Po Box which results in delayed mailing times. You may visit the Helena office to have it processed in person within 10-15 minutes if you have all required materials available.
Where do I send my completed application?
Send the original forms, photocopies of business documentation, and the $125 nonrefundable application fee to our mailing address: ICCU – Po Box 8011 – Helena, MT 59604. For overnight mailing or visiting our office, our physical address is: 1805 Prospect Ave (2nd Floor, East Side) – Helena, MT 59601.
What if I am an independent contractor in the construction industry with employees?
You must also complete a Construction Contractor Registration application. Provide proof of workers' compensation coverage. Submit a $53 nonrefundable application fee.
Can I be penalized if I don't register or allow someone else to work under my ICEC?
Yes, the law provides for a $1000 maximum penalty per violation for independent contractors who aren't in compliance. It also allows for a $5,000 fine for falsely transferring a Construction Contractor Registration certificate.
Is a test required to obtain an ICEC?
No test is required.
Do I need to notify the Independent Contractor Central Unit to update my ICEC if my mailing address, business structure, or business name changes?
Yes. If your certificate has not expired there is no additional application fee.
Phone number - You must mail, email or fax us a request in writing to make those changes.
Mailing address - You must mail, email or fax us a request in writing to make those changes.
Occupations (remove or add) - You must recomplete an ICEC application form that includes the existing and new occupations. If the occupation is not in the same industry as the existing occupation, you must provide 15 points of documentation for the new occupation only.
Business Structure – You must recomplete an ICEC application form with the new business structure selected. If changing to a partnership, you must provide a partnership agreement.
Business Name – You must recomplete an ICEC application form that includes your new business name and provide 15 points of business documentation for the new business name.
Can my spouse or child take over my ICEC?
No. The certificate is issued to the individual whose name is on the application and cannot be transferred.
What is the difference between ICEC and the Construction Contractor Registration?
Construction Contractor Registration was enacted in 1995. It is only for those in the construction industry. The independent contractor exemption, exempts the owner of a business from carrying workers' compensation coverage on themselves, has been around since 1981.
If you have questions, please call 406-444-7734, or write the Employment Relations Division, Contractor Registration, PO Box 8011, Helena, MT 59604.
For your convenience, Job Service Offices have application forms.
Independent Contractor Central Unit
Workers' Compensation Regulation Bureau
Employment Relations Division
PO Box 8011
Helena, MT 59604-8011