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Cynthia Jones quoted in ""

Workers' compensation insurance will no longer be required for volunteer homeowner association directors and officers in North Carolina. 12/9/2015

The passage of North Carolina HB 765 amends the definition of "employee" under the Workers' Compensation Act to exclude volunteers and officers of certain nonprofits.

Homeowner association are typically organized as nonprofit corporations. Associations became concerned last year that HOA officers and directors would be subject to penalties for not obtaining workers' comp insurance.

The volunteer directors would be counted as employees when the association has one or more non-volunteer employees, but solely for the purpose of calculating the number of workers, according to the text of the new law. Employers that have three or more employees are required to have workers' comp coverage.

The full text of the article is available on the website.

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