Worker's Comp Insurance in MA - Required or Elective?

Is Worker's Compensation Insurance required in Massachusetts?

Every Massachusetts employer is required to provide workers' compensation insurance coverage for their employees. Refer to M.G.L. Chapter 152, Section 25A.
An employer may be an individual, partnership, joint venture, corporation, limited liability company, association, or a fiduciary such as a trustee, receiver or executor, or other legal entity. Refer to M.G.L. Chapter 152, Section 1 [5] for a definition of employer.

Since a sole proprietor, partner or member of an LLC are not considered employees for payroll and payroll tax purposes, can they be covered under MA Worker's Comp Insurance?

Sole proprietors, partners of a legal partnership, and members of an LLC may elect to be treated as employees and obtain coverage for themselves under a workers' compensation insurance policy.

Since an officer or director of a corporation is considered an employee of the company, are they required to be covered by MA Workers Comp Insurance?

Workers' compensation coverage is elective for an officer or director of a corporation who owns at least 25% of the issued and outstanding stock of the corporation.

For more information of Massachusetts Worker's Compensation regulations, go to the WCRIG (The Worker’s Compensation Rating and Inspection Bureau for Massachusetts) web site - https://www.wcribma.org/mass/default.aspx .

Worker's compensation regulations vary by state. Check your state insurance commission for clarification of your states regulations.


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