The Workplace Safety and Insurance Board (WSIB) runs Ontario's workplace insurance system. For a snow removal business, WSIB comes up in three places: when you hire your first worker, when you use subcontractors, and when a property manager or municipality asks for proof that you are in good standing before you start work.
This guide explains the WSIB basics that apply to snow plow operators, snow removal companies and landscapers who plow in winter.
General information only, not legal or insurance advice. WSIB rules change; confirm your situation with the WSIB, your accountant and your broker.
Do Snow Removal Businesses Have to Register With WSIB?
WSIB says that "most Ontario businesses that have employees (including family members and sub-contractors) must register." The sectors where registration is mandatory include services, trucking and transportation, and construction.
WSIB also publishes a short list of industries where registration is optional, such as banks, insurance companies, travel agencies, photography businesses and barber shops. Snow removal and landscaping are not on that optional list.
The 10 Day Deadline
According to WSIB, you have "10 calendar days to register with us from the day you hire your first employee." Registration is done online through WSIB's business registration portal, and WSIB says it takes about 10 minutes.
What Happens If You Do Not Register
WSIB warns that not registering "may result in penalties, investigation and provincial offences charges or having to repay retroactive premiums." Seasonal hiring is common in snow removal, so it is worth setting a reminder before your first winter crew starts.
How WSIB Classifies Snow Removal Work
WSIB groups businesses into classes based on the North American Industry Classification System (NAICS). In the WSIB 2023 Premium Rates Manual:
- NAICS 561730, landscaping services, is in Class M (administration, services to buildings, dwellings and open spaces).
- NAICS 561799, all other services to buildings and dwellings, is also in Class M. Statistics Canada lists "snow ploughing services, parking lots and driveways" as an example of this code.
In general terms, driveway and parking lot snow plowing and landscaping are usually classified under Class M, but WSIB decides your classification based on the activities you report when you register. Road clearing work done for a road authority may be classified differently. We do not publish premium rates, because they depend on your classification and WSIB's current rate tables.
Owner Operators and Independent Operators
Many snow businesses are one person and one truck. Outside construction, WSIB coverage for an independent operator is optional, and WSIB notes that "an independent operator is not automatically covered by the business for whom they are doing work."
A few points from WSIB that often surprise new owners:
- A person WSIB rules to be an independent operator can apply for optional insurance for themselves.
- Incorporating does not, on its own, make you an independent operator. WSIB uses a questionnaire to decide.
- If you hire even one worker, the registration rules for employers apply.
If you plow for a larger contractor, ask early whether they expect you to have your own WSIB account. See our page for snow removal subcontractors and owner operators.
Clearance Certificates
A WSIB clearance is "a number issued by the WSIB that shows that a business is registered and up-to-date with us." Clearances are valid for up to 90 days, and WSIB says they typically renew on February 20, May 20, August 20 and November 20.
Why Clearances Matter When You Hire Subcontractors
Under section 141 of the Workplace Safety and Insurance Act, WSIB can hold a principal liable for a contractor's unpaid premiums and other amounts, up to the value of the labour portion of the contract. WSIB policy 14-02-04 says that by issuing a clearance, "the WSIB waives its right to hold a principal liable" for the validity period of the certificate. The policy applies beyond construction, but it does not apply to householders who buy services from a contractor.
In practice, this is why property managers and general snow contractors ask for clearances. If you use subs, check each sub's clearance before work begins and again if the job runs past the 90 day period. Clearances are legally mandatory in construction under a separate WSIB policy. See hiring subcontractors safely and the subcontractor COI tracker.
Why Clients Ask You for One
Public sector buyers often build WSIB into the contract. One Ontario township's winter maintenance request for proposals required proof of WSIB registration before award. Read more in winning municipal snow contracts in Ontario.
WSIB and Your Business Insurance
WSIB is not the same as liability insurance. WSIB deals with workplace injuries to workers. Injuries to the public, such as a pedestrian who slips in a lot you cleared, fall under your general liability and slip and fall coverage. Read our overview of workers compensation for snow removal, and ask a broker how your liability policy treats workers who are not covered by WSIB.
If you are just getting started, see starting a snow removal business in Ontario and snow plow insurance cost in Ontario.
Sources
- WSIB: How to register
- WSIB: Registration FAQs
- WSIB: Independent operators
- WSIB: Clearance FAQs
- WSIB Operational Policy 14-02-04: Clearance Certificate
- WSIB 2023 Premium Rates Manual (PDF)
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Frequently Asked Questions
How long do I have to register with WSIB after hiring?
WSIB says you have 10 calendar days from the day you hire your first employee. Registration is done online.
Is snow removal an optional industry for WSIB?
No. Snow removal and landscaping are not on WSIB's list of industries where registration is optional.
What WSIB class is snow plowing in?
Driveway and parking lot plowing and landscaping are generally in Class M, but WSIB decides your class based on the activities you report.
How long is a WSIB clearance valid?
Up to 90 days. Check a subcontractor's clearance before work starts and again if the job runs longer.
Does WSIB replace liability insurance?
No. WSIB covers workplace injuries to workers. Claims from the public are a general liability matter.