Florida workers' comp exemption for LLC members
Under Florida Statutes §§ 440.02 and 440.05 and Rule 69L-6.012, F.A.C., members of an active Florida LLC who own at least 10% of the company can apply online with the Florida Division of Workers' Compensation (myfloridacfo.com) for a Certificate of Election to Be Exempt. Non-construction LLCs may exempt up to 10 members owning ≥10% each for $0 (free). Construction LLCs may exempt up to 3 members owning ≥10% each for a $50 state fee. Sole proprietors and partners in construction cannot exempt themselves — they must form an LLC or corporation on Sunbiz first.
Verified against the Florida Division of Corporations on Oct 21, 2026
- Form your Florida LLC or Corporation: wait until it shows ACTIVE on Sunbiz.
- Document ownership: show each applicant's ≥10% ownership in your signed Operating Agreement and Membership Certificates.
- Verify licenses: confirm any required DBPR/local license is active.
- Submit the Notice of Election to Be Exempt: on the Florida DWC portal ($50 construction / $0 non-construction).
- Calendar your renewal: exemptions must be renewed every 2 years.
| Factor | Construction Florida LLC | Non-Construction Florida LLC | Construction Profit Corporation | Sole Proprietor / Partnership |
|---|---|---|---|---|
| Eligible for Workers' Comp Exemption? | Yes | Yes | Yes (officers) | Not in construction |
| Minimum Ownership Required | ≥10% | ≥10% | ≥10% (officers) | — |
| Max Exempt Owners | 3 | 10 | 3 | — |
| State DWC Filing Fee | $50 | $0 | $50 | — |
| Renewal Period | 2 years | 2 years | 2 years | — |
Why Sole Proprietors in Florida Trade & Construction Must Form an LLC First
In construction, only qualifying officers of a corporation or members of an LLC can elect to be exempt; sole proprietors and partners cannot. Forming an LLC or corporation is the path to an exemption.
Your entity must be ACTIVE on Sunbiz before you apply.
How the 10% LLC Ownership Rule Works (Rule 69L-6.012, F.A.C.)
Each member claiming the exemption must own at least 10% of the LLC, and the Division may ask for proof such as the operating agreement or membership records.
- Exemptions are filed with the Florida Division of Workers' Compensation. Official source
- Election to be exempt is governed by § 440.05. Official source
- A new Florida LLC costs $125 in state fees. Official source
Corp USA is not a law firm and does not provide legal, tax, or accounting advice. We are a document filing service. Use of this site does not create an attorney-client relationship. For legal advice, consult a licensed attorney.
Who qualifies for a workers' comp exemption in Florida?
Corporate officers and LLC members owning at least 10% of an active Florida entity, within the limits per entity.
How much does a Florida workers' comp exemption cost?
$50 for construction-industry exemptions; $0 for non-construction.
How long does a Florida workers' comp exemption last before renewal?
Two years.
Why do I need an Operating Agreement and Membership Certificates for my LLC exemption?
They document the 10% ownership the Division may ask you to prove.