Who must carry it in South Carolina
An employer that regularly employs four or more employees, full- or part-time, must carry workers' compensation; agricultural employers, railroads and businesses with an annual payroll below $3,000 are exempt.
Who counts as an employee
Part-time and family employees count toward the four, and corporate officers count even when they exempt themselves. The label on the paycheck does not settle it: South Carolina applies its own employee test, and a worker who fails it is an employee for workers' compensation no matter what the contract says.
Owners, officers and LLC members
Corporate officers may reject coverage by notifying the carrier in writing; sole proprietors and partners may elect coverage. The election is made on the policy and affects both coverage and premium, so decide it before the policy is bound rather than at audit.
The day you hire
CoverMatch quotes workers' compensation from the first employee, with pay-as-you-go billing through most payroll companies where a carrier offers it, so the policy can start the week you hire without a large deposit. Add the policy to your wallet and the live certificate is ready for the general contractor or client who asks for proof.
If you go without
Uninsured employers face a penalty per day of non-compliance, possible criminal charges, and liability for benefits. The specific amounts and procedures are in the statute and on the agency page linked above; they change, and the licensed agent who reviewed this page checks them on each update.