What should Omicron Corporation do in relation to workers compensation insurance for expanding into new states?

When a corporation like Omicron is expanding its operations into new states, the correct action regarding workers' compensation insurance involves notifying the insurer about changes in operations that might affect coverage. Adding the new states—Utah, Arizona, and New Mexico—to Item 3.C of the insurance policy and advising the insurer promptly ensures that the company is compliant with each state's workers' compensation laws and regulations before commencing operations there.

This proactive approach helps to secure the necessary coverage for employees in these states, protecting both the employees and the corporation from potential liabilities associated with workplace injuries. Workers' compensation laws vary significantly by state, and failure to have appropriate coverage could lead to legal and financial consequences.

By taking this step, Omicron Corporation puts itself in a strong position to safeguard its workforce and maintain compliance, allowing for smoother operations during the expansion.