Workers Comp Exemption Options

Many states allow small businesses to exempt themselves from workers comp requirements and many others specifically do not.  This should not be confused with Owner/Officer exclusions, as virtually all states allow owners, officers, or members of an LLC to exclude themselves from their company’s workers comp policy.  Note that exemptions do not typically apply to employees of an exempt business, meaning that if you accept an exemption from a subcontractor and then that subcontractor hires employees, workers comp claims may still be made against your policy by the employees of that exempt entity.  OH, ND, WA, WY are not listed as they are monopolistic states with no competitive workers compensation market. If you are in one of those states, you should reach out to them directly for workers comp rules and regulations.