Wouldn't it be easier to consider contractors my employees so that I do not have to be concerned where their coverage is?

No. If the contractor does not provide you with evidence of coverage or evidence that they are not subject to the act, then you are required to report each contractor to the Fund at audit. A premium charge will then be developed, based on the contract costs. This will increase your final premium.

If an uninsured contractor is injured as a result of performing work on your behalf, it is possible that you will be responsible for paying medical expenses and/or lost wages incurred by the injured contractor. This claim experience will negatively impact your experience modification factor, thereby increasing your premiums. Claim payments negatively impact an experience modification factor for approximately three years.