What is workers compensation insurance and when is it required?

Understanding Workers Compensation Insurance in New Hampshire

Workers compensation insurance provides coverage for employees who suffer work-related injuries or illnesses. It helps cover medical expenses, rehabilitation costs, and lost wages, ensuring financial protection for both employees and employers.

When is Workers Compensation Insurance Required in New Hampshire?

As of 2026, New Hampshire law requires most employers to carry workers compensation insurance if they have one or more employees. This includes full-time, part-time, and seasonal workers.

• Employers with employees: Must obtain workers compensation insurance to comply with state regulations.
• Independent contractors: Typically not covered unless classified as employees under state guidelines.
• Exemptions: Certain small employers or specific industries may have exemptions, but verifying current requirements is essential.

Operational Considerations for New Hampshire Businesses

• Business registration: Ensure your business is properly registered with the New Hampshire Department of Labor before obtaining insurance.
• Insurance providers: Choose a licensed workers compensation insurance carrier recognized by the state.
• Payroll tracking: Maintain accurate payroll records to determine premium calculations and ensure proper coverage.
• Employee classification: Correctly classify workers to avoid coverage gaps or compliance issues.
• Claims reporting: Establish procedures for timely injury reporting and claims management to meet state requirements.