Oklahoma Code § 85A-126

Title 85A. Workers' Compensation: Agreement between general contractor and subcontractor to
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provide workers' compensation coverage.
A.  For the purposes of this section:
1.  “General contractor” means a person or entity who undertakes
to procure the performance of work or a service, either separately
or through the use of subcontractors.  General contractor shall
include, but is not limited to, a principal contractor, an original
contractor, a prime contractor or other analogous term, and one who
owns, occupies, possesses, or otherwise controls a premises who
enters into contracts with subcontractors for all or part of the
work being performed on the premises;
2.  “Provides workers’ compensation insurance coverage” means to
make available workers’ compensation insurance coverage.  Workers’
compensation insurance coverage may be provided, even if it does not
ultimately cover an incident, so long as it was made available to
the subcontractor.  The following does not constitute acceptable or
relevant evidence to suggest that workers’ compensation insurance
made available to a subcontractor was not provided to the
subcontractor:
a. timing discrepancies between the issuance of workers’
compensation insurance policies and contracts between
and among general contractors and subcontractors,
b. factual discrepancies in secondary documentation such
as certificates of insurance or enrollment forms,
c. a general contractor’s lack of notice of election of
coverage, or

d. payment of premiums, or lack thereof, by the general
contractor; and
3.  “Subcontractor” means a person or entity with whom the
general contractor has entered into a contract to perform all or
part of the work or services that the general contractor has
undertaken to perform, and includes a person or entity with whom a
subcontractor contracts to perform the work.
B.  A general contractor and a subcontractor may enter into a
written agreement under which the general contractor provides
workers’ compensation insurance coverage to the subcontractor and
employees of the subcontractor.
C.  If a general contractor has workers’ compensation insurance
to protect the general contractor’s employees and if, in the course
and scope of the general contractor’s business, the general
contractor enters into a contract with a subcontractor who does not
have employees, the general contractor shall be treated as the
employer of the subcontractor for the purposes of the Administrative
Workers’ Compensation Act and may enter into an agreement for the
deduction of premiums paid in accordance with subsection D of this
section.  A premise owner who acts as a general contractor shall be
treated as the employer of all subcontractors for the purposes of
the Administrative Workers’ Compensation Act and may enter into an
agreement for the deduction of premiums paid in accordance with
subsection D of this section.
D.  If a general contractor elects to provide coverage, then the
actual premiums based on payroll that are paid or incurred by the
general contractor for the coverage may be deducted from the
contract price or other amount owed to the subcontractor by the
general contractor.
E.  An agreement under this section makes the general contractor
the employer of the subcontractor and the subcontractor’s employees
only for the purposes of this title.  A subcontractor or
subcontractor’s employee’s rights and remedies against the general
contractor or any principal, officer, director, employee,
stockholder, partner, or prime contractor of the general contractor
shall be subject to the limitations pursuant to Section 5 of Title
85A of the Oklahoma Statutes.  The limitations in this subsection
shall only apply to claims against the general contractor.  To the
extent not otherwise precluded by Section 5 of Title 85A of the
Oklahoma Statutes, a subcontractor or subcontractor’s employee
retains the right to recover from another subcontractor or
subcontractor’s employee.
F.  Notwithstanding subsection C of this section, a person who
performs work or provides a service for an oil or gas well operator
and who is an independent contractor that has no employees shall be
treated in the same manner as an independent contractor with
employees and is not entitled to coverage under the general

contractor’s workers’ compensation insurance policy unless the
independent subcontractor and the general contractor enter into an
agreement under this section.

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