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Do independent contractors need workers' comp? Any subcontractor that uses employees is required to have its own workers' compensation policy.Principals and general contractors should contractually require any entity with which they contract provide workers compensation insurance. The complete guide to subcontractor workers' comp. Contractor shall submit an itemized statement of Contractor's expenses. Subcontractors may need to provide proof of workers' compensation in order to secure a contract or protect their income. Some businesses may require anyone working for them to carry workers' compensation insurance including contractors and subcontractors. As your insurer, SAIF is liable for all benefits payable under your policy. Can affect your workers' compensation premium substantially. Most states require workers compensation coverage for employees only.