Bill would require contractors on public projects to purchase comp

A bill prefiled in the Texas House of Representatives on Wednesday would require building and construction contractors and subcontractors retained for a public project to obtain workers compensation insurance. 

H.B. 776 would modify Texas labor code to require construction contractors and subcontractors to purchase workers compensation — and provide proof of such coverage — if they enter into a contract with a governmental entity for a public project.

The bill would mandate that these contractors and subcontractors retain coverage for every employee engaged in the project through a group plan, owner-controlled consolidated insurance program or other methods. 

If signed into law, the legislation would apply to contracts entered into on or after Sept. 1, 2021.