Sole Traders/Proprietors, or members of a partnership are not considered as workers. Hence they cannot take out workers compensation insurance to cover themselves for injuries.
For sole traders and partnerships, a suitable alternative may be a personal accident and illness policy, or an income protection insurance policy. However, it's not a legal requirement to take out one of these policies.
If you’re not an exempt employer you will still need to take out a workers compensation policy to cover any workers you might have.
If you’re hired as a worker, then your employer may need to take out a workers compensation policy to cover you.
Barry the electrical contractor
Barry operates an electrical contracting business. Barry is a sole trader with no workers. Barry is not eligible to take out workers compensation insurance.
Tilers Steve and Jason
Steve and Jason are tilers who conduct their business as a partnership and employ an apprentice. They are required to take out workers compensation insurance to cover the apprentice. The workers compensation insurance does not cover Steve and Jason.