Workers' Compensation FAQ

Do I have to have Workers' Compensation on family members?

Do you have to have Workers' Compensation on part-time employees?

I am thinking of establishing a business in New Hampshire. How do I go about providing workers' compensation insurance for my employees?

If we have liability or health insurance, doesn't it take the place of Worker's Compensation?

What are the requirements for new Workers' Compensation carriers writing New Hampshire coverage?

What are the requirements for Workers' Compensation?

What constitutes an independent contractor?

Why am I getting a letter from the state when my Workers' Compensation is already paid?

How long do I have to file a claim for an injured employee?

Do I have to have Workers' Compensation on family members?

Yes.

Do you have to have Workers' Compensation on part-time employees?

Yes.

I am thinking of establishing a business in New Hampshire. How do I go about providing workers' compensation insurance for my employees?

You may call any insurance agent offering workers compensation insurance.

If we have liability or health insurance, doesn't it take the place of Worker's Compensation?

No. Workers' Compensation is required by law under RSA 281-A whereas, liability and health insurance are voluntary coverage on your part.

What are the requirements for new Workers' Compensation carriers writing New Hampshire coverage?

Per LAB 304.04(e) Carriers shall contact the Department to be assigned a "Carrier Identification Number" prior to underwriting coverage in New Hampshire. Without this information you are unable to file the necessary State filing forms for coverage and may be assessed civil-penalties in the amount of $50 per day for each day of non-compliance with RSA 281-A:7.

What are the requirements for Workers' Compensation?

Under the New Hampshire Workers' Compensation Law RSA 281-A:5, every employer who has any employees, full or part-time, is required to cover these employees with workers' compensation insurance written by a carrier. It does not matter if they are related, such as daughter, son, husband, etc. It also does not matter if the business is a "Non-Profit" organization.

Sole-proprietors, partners and self-employed persons are not required to carry workers' compensation on themselves but may elect to be covered, per RSA 281-A:3. Sole proprietors or partners operating as Sub-Contractors, without employees, under a General Contractor may be required to carry workers' compensation coverage by the General Contractor.

RSA 281-A:2,VIII explains that if a corporation or limited liability company (LLC) has 3 or less executive officers or LLC members and no other employees, coverage is not mandatory but may be elected pursuant to RSA 281-A:3. Once there is a 4th executive officer or LLC member, workers' compensation insurance must be obtained. Once coverage is in place or any employees regardless of the number of officers or LLC members, all persons, including all officers or LLC members, are considered employees and would automatically be covered. Up to three executive officers or LLC members may then elect to be excluded per RSA 281-A:18-a. Professional Associations are to be treated the same as corporations and LLC's.

Exclusion becomes effective by providing the agent with the date of birth, name, address and specific title of the executive officer(s) or LLC member(s) to be excluded. The agent will then notify the insurance carrier, who in turn will notify the Department of Labor. If you have any other questions regarding workers' compensation coverage, please feel free to call the office at (603) 271-3175.

What constitutes an independent contractor?

An independent contractor must meet the criteria defined in RSA 281-A:2,VI. This includes possession of a federal employer identification number, having control over the performance of the work and the time the work is performed. An independent contractor is not required to work exclusively for one employer.

Why am I getting a letter from the state when my Workers' Compensation is already paid?

The Department of Labor sends a questionnaire five (5) days before the termination date if we have not received notification of new coverage or reinstatement of existing coverage from your carrier. This allows you to be aware of your coverage status.

How long do I have to file a claim for an injured employee?

"Every employer or self-insurer shall record in sufficient detail and shall report or cause to be reported to the commissioner any injury sustained by an employee in the course of employment as soon as possible, but no later than (5) days after the employer learns of the occurrence of such an injury." If an employer fails to file a First Report of Injury, the employer may be subject to a fine of up to $2,500.00.