Maritime Insurance

USL&H vs Workers Comp: What Florida Maritime Contractors Need to Know

Standard Florida workers comp does not cover workers injured on docks, piers, or navigable waters. If you operate towing vessels, marine construction, or offshore services in Florida, you likely need USL&H coverage — and the penalties for not having it are severe.

FederalUSL&H is a federal program
33 U.S.C.Governing statute
StateStandard WC is state-governed
BothMany FL contractors need both

Side by Side

USL&H vs. Standard Workers Comp

FactorStandard Workers CompUSL&H
Governing lawFlorida Statutes Ch. 440Federal LHWCA (33 U.S.C. § 901)
Administering agencyFlorida DFS / OJCCU.S. Dept. of Labor (OWCP)
Workers coveredLand-based employeesMaritime workers on navigable waters
Benefit levelsFlorida statutory scheduleFederal schedule (generally higher)
Disability benefits66.67% of AWW66.67% of AWW (federal AWW)
Death benefitsFlorida scheduleFederal schedule
Employer penalty for non-complianceState fines + stop-work orderFederal fines up to $10,000 + imprisonment
Who issues the policyState-licensed carrierCarrier authorized for federal coverage

Who Needs It

Florida Contractors That Require USL&H Coverage

Towing & Marine Contractors

Companies operating tugboats, barges, or marine towing services in Florida waters. Crew members working on vessels or docks are covered under USL&H, not standard workers comp.

Dock & Pier Construction

Contractors building or repairing docks, piers, wharves, and marine railways. Workers injured while working on these structures over navigable water fall under federal jurisdiction.

Shipbuilding & Ship Repair

Any company involved in building, repairing, or breaking down vessels. Florida has active shipyards in Jacksonville, Tampa, and Fort Lauderdale where USL&H is required.

Offshore Service Companies

Companies providing services to offshore oil platforms, wind farms, or other offshore structures. Workers traveling to and from these structures may also be covered.

Marine Salvage

Salvage operations on navigable waters require USL&H coverage for divers, crane operators, and deck crew involved in the salvage work.

Harbor Pilots & Stevedores

Stevedores loading and unloading cargo ships, and harbor pilots guiding vessels into port, are classic USL&H-covered occupations.

Compliance

The Penalty for Not Having USL&H Coverage

Federal penalties for USL&H non-compliance are severe

Under 33 U.S.C. § 938, an employer who fails to secure USL&H coverage faces fines of up to $10,000 per violation, up to one year imprisonment, and personal liability for all benefits owed to injured workers. The federal government does not offer the same grace periods that Florida's stop-work order process provides.

Signs you may need USL&H coverage

  • Your employees work on docks, piers, or wharves
  • You operate or crew vessels on navigable Florida waters
  • You perform construction or repair work over water
  • You have employees who board vessels as part of their job
  • You perform marine salvage or underwater work
  • You load or unload cargo at Florida ports
  • You provide services to offshore platforms or structures
  • Your current workers comp policy has a maritime exclusion

Not Sure If You Need USL&H Coverage?

We specialize in maritime and marine contractor insurance in Florida. We'll review your operations and confirm exactly what coverage you need.