Corporations and co-operative corporations

Corporations and co-operative corporations (not in construction, landscaping or timber harvesting)

A corporate officer who meets the three tests below is not a covered worker of the corporation and is not personally covered by your policy — unless SAIF receives and accepts a written application for the officer's personal election of coverage and names the officer on a Sole Proprietors, Partners, Officers, and Others Coverage Endorsement.

If a corporate officer does not meet the following coverage tests, the officer is covered under the policy. Read about payroll reporting for these workers.

Coverage tests (must meet all three)

The corporate officer occupies a named officer position authorized in the bylaws, and
The corporate officer is a director of the corporation, elected or appointed to the corporation's board of directors in accordance with its articles of incorporation or bylaws, and
The corporate officer has a substantial ownership interest. Substantial ownership interest is ownership of 10 percent or more, or an ownership equal to or greater than the average ownership of all owners.

Download the Personal Coverage Application for Nonsubject Corporate Officers form

Licensed corporations and co-operative corporations (co-ops) in construction, landscaping, or timber harvesting

A corporation engaged in construction work regulated by the Construction Contractors Board (CCB), landscape work regulated by the Landscape Contractors Board (LCB), or the commercial harvest of timber is limited in the number of employed corporate officers who can be exempt from coverage.

These corporations licensed with the appropriate board or engaged in commercial timber harvesting may designate no more than two officers or one officer for each 10 corporate employees, whichever is greater, as exempt from coverage.

Those who do not meet the following exemption tests are covered under the policy.

Exemption tests (must meet all three)
A corporate officer who meets the following tests may be designated as exempt from coverage:

The officer occupies a named officer position authorized in the bylaws, and
The officer is a director of the corporation, elected or appointed to the corporation's board of directors in accordance with its articles of incorporation or bylaws, and
The officer has a substantial ownership interest. Substantial ownership interest is ownership of 10 percent or more, or an ownership equal to or greater than the average ownership of all owners.

You must designate in writing which eligible officers are exempt from coverage and send the designation to SAIF. If you do not file a written designation, SAIF will designate exemption by applying Oregon law as follows: (1) president; (2) secretary, if any; (3) vice president, if any; (4) secretary/treasurer, if any; (5) treasurer, if any; (6) all other officers, if any.

Corporations whose officers are all members of the same family may exempt any officers who have substantial ownership. "Members of the same family" means those who each bear one of the following relationships to one of the others: parent, daughter, son, daughter-in-law, son-in-law, grandchild, spouse, sister, or brother.

Officers who are exempt from coverage remain exempt as long as the exemption eligibility requirements are met. You can change exemptions by completing and submitting a new form.

Download the Designation of Corporate Officer Exemption – Construction, Timber Harvest, or Landscape Industries form

Not licensed corporations and co-operative corporations (co-ops) in construction or landscaping

Oregon law treats corporations not licensed with the CCB or the LCB as a nonconstruction or nonlandscaping corporation. See the first corporations section above.

Payroll reporting

Officers not meeting the coverage tests above, officers who elected coverage, officers not meeting the exemption eligibility tests, or officers not designated exempt must report actual payroll within the following limitations:

Annual reportable payroll for new and renewing policies as of January 1, 2024:

Minimum of: $67,600

Maximum of: $270,400

If your policy period is anything other than one year in length, or if an officer is covered for a portion of a policy period, use the following weekly minimum and maximum amounts for the period of coverage:

Weekly reportable payroll for new and renewing policies as of January 1, 2024:

Minimum of: $1,300

Maximum of: $5,200

Compare the officer's actual payroll for the number of full and partial calendar weeks of covered work during the policy period to the minimum and maximum limitations above. Report actual payroll, but no less than the minimum, nor more than the maximum.