Do I need workers compensation insurance?

Workers Compensation Insurance Requirements in Oregon

In Oregon, most employers are required to carry workers compensation insurance to cover medical costs and lost wages for employees injured on the job.

Who Must Carry Workers Compensation Insurance?

• Employers with one or more employees: Oregon law generally requires all employers with at least one employee to have workers compensation insurance.
• Domestic employers: If you employ household workers such as nannies or caregivers, you may also need coverage.
• Exception for sole proprietors and partners: Sole proprietors and business partners are not required to carry coverage for themselves but may choose to opt in.

Operational Considerations

• Insurance options: You can purchase workers compensation insurance from private insurers or through the Oregon Workers' Compensation Division.
• Employee classification: Properly classify your employees to ensure correct premium rates and compliance.
• Recordkeeping and reporting: Maintain accurate injury and claim records and report workplace injuries promptly as required.
• Payroll impact: Workers compensation premiums are often based on your total payroll and employee job classifications.
• Compliance monitoring: Regularly review your insurance coverage to stay compliant as your business grows or changes.

As of 2026, ensure you verify current requirements with the Oregon Workers' Compensation Division to maintain compliance and protect your business operations effectively.