Smiling Group of ProfessionalsA Texas Business Insurance Update Many Texas businesses offer college students the opportunity to hold a summer intern position. These can be rewarding for the college student as well as provide some help to the business. Most States now require these positions to be paid. Before you bring that person on board, make sure your business is well prepared.
  • Have a clear job description, hours, and line of authority.
  • Check to see if there are any state regulations that might be impacted.
  • If you offer a paid internship, you will need to treat the intern like any other employee.
  • If the internship is a paid position, don’t forget about workers’ compensation.
  • Make sure you comply with Healthcare Reform relating to employee benefits.
  • Make sure the intern understands they are not entitled to “regular” company benefits, i.e. retirement, insurance, vacation, etc.
  • The internship must provide similar training that would be given in an educational environment.
  • There must be a “true” benefit for the intern.
  • Unpaid internships for for-profit companies are subject to the U.S. Department of Labor’s Fair Labor Standards Act. There are provisions if you offer educational credit. Here is a link to the S. Department of Labor.
We recommend you check with the department of labor to make sure your program meets all of the requirements. There have been many businesses who have been sued as a result of improper internship programs. Because every business is different and has different needs, no two business insurance packages will be the same. J.S. Edwards & Sherlock Insurance Agency works with you to determine your areas of exposure, your business goals and the overall requirements of your industry to develop a business insurance package that has your business covered.