§ 97-19.1. Truck, tractor, or truck tractor trailer driver's status as employee or independent contractor.

§ 97‑19.1.  Truck,tractor, or truck tractor trailer driver's status as employee or independentcontractor.

(a)        An individual inthe interstate or intrastate carrier industry who operates a truck, tractor, ortruck tractor trailer licensed by a governmental motor vehicle regulatoryagency may be an employee or an independent contractor under this Articledependent upon the application of the common law test for determiningemployment status.

Any principal contractor,intermediate contractor, or subcontractor, irrespective of whether suchcontractor regularly employs three or more employees, who contracts with anindividual in the interstate or intrastate carrier industry who operates atruck, tractor, or truck tractor trailer licensed by the United States Departmentof Transportation and who has not secured the payment of compensation in themanner provided for employers set forth in G.S. 97‑93 for himselfpersonally and for his employees and subcontractors, if any, shall be liable asan employer under this Article for the payment of compensation and otherbenefits on account of the injury or death of the independent contractor andhis employees or subcontractors due to an accident arising out of and in thecourse of the performance of the work covered by such contract.

(b)        Notwithstandingsubsection (a) of this section, a principal contractor, intermediatecontractor, or subcontractor shall not be liable as an employer under thisArticle for the payment of compensation on account of the injury or death ofthe independent contractor if the principal contractor, intermediatecontractor, or subcontractor (i) contracts with an independent contractor whois an individual licensed by the United States Department of Transportation and(ii) the independent contractor personally is operating the vehicle solelypursuant to that license.

(c)        The principalcontractor, intermediate contractor, or subcontractor may insure any and all ofhis independent contractors and their employees or subcontractors in a blanketpolicy, and when insured, the independent contractors, subcontractors, andemployees will be entitled to compensation benefits under the blanket policy.

A principal contractor,intermediate contractor, or subcontractor may include in the governing contractwith an independent contractor in the interstate or intrastate carrier industrywho operates a truck, tractor, or truck tractor trailer licensed by agovernmental motor vehicle regulatory agency an agreement for the independentcontractor to reimburse the cost of covering that independent contractor underthe principal contractor's, intermediate contractor's, or subcontractor'scoverage of his business. (2003‑235, s. 1; 2006‑26, s. 1; 2006‑259,s. 19.)