What insurance is required before hiring employees?

Required Business Insurance Before Hiring Employees in Nevada

Before hiring employees in Nevada, businesses must secure specific insurance coverage to comply with state regulations and protect both the company and its workforce.

Mandatory Insurance Types

• Workers’ Compensation Insurance: Nevada requires most employers with one or more employees to carry workers’ compensation insurance. This coverage provides benefits to employees who suffer work-related injuries or illnesses.
• Unemployment Insurance: Employers must register with the Nevada Department of Employment, Training and Rehabilitation (DETR) to pay unemployment insurance taxes. This insurance supports employees who become unemployed through no fault of their own.
• Disability Insurance: While Nevada does not mandate state disability insurance, employers should be aware of any federal requirements or consider voluntary plans to support employees during non-work-related disabilities.

Additional Operational Considerations

• General Liability Insurance: Although not legally required, general liability insurance is recommended to protect the business from third-party claims related to bodily injury or property damage.
• Employee Classification: Properly classifying workers as employees or independent contractors affects insurance requirements, especially workers’ compensation obligations.
• Recordkeeping and Reporting: Maintain accurate records of insurance policies and employee coverage status. Timely reporting to Nevada’s Division of Industrial Relations is essential for compliance.
• Payroll Integration: Integrate insurance premium payments with payroll systems to ensure accurate tax filings and timely payments.

As of 2026, verify insurance requirements with Nevada’s Division of Industrial Relations and DETR to stay current with any regulatory updates.