Buying workers’ compensation for:


State Fund: No

Insurance Coverage Requirements: Workers’ Compensation is compulsory in Georgia, although some waivers are permitted. Corporate officers may elect to be exempt; however they are still counted as employees. A corporation may not be allowed to exempt more than five corporate officers and a limited liability company may not be allowed to exempt more than five members.

Who is Required to Purchase Workers’ Compensation Coverage?

Employers having 3 or more persons regularly employed must provide workers’ compensation benefits. This includes part-time employees.

Factors that Impact Coverage

  • You are a sole proprietor or partner: In Georgia, you are excluded from coverage but have the option to include yourself.
  • You are a corporate officer or member of an LLC: Georgia includes you in coverage, but up to five officers can opt out.

Failure to Secure Compensation

If an employee is injured and the employer does not have workers’ compensation insurance in effect at the time of the injury, they can be personally liable for all benefits, including medical and wage loss, provided under the Workers’ Compensation Law. An uninsured employer may also be liable for a penalty of 10% of the amount of medical and wage loss benefits as well as attorney fees if an attorney represents the injured worker.

In addition, employers who operate without workers’ compensation insurance, can be liable for a penalty of $2.00 per day per employee or $25.00 per day, whichever amount is greater. The Workers’ Compensation Law authorizes the Industrial Commission to file a lawsuit in district court to obtain an injunction prohibiting the employer from operating the business while in violation of the Workers’ Compensation Law.

Operating a business without workers’ compensation insurance is a misdemeanor under Idaho law and the employer may be subject to criminal penalties.

Proof of Coverage is Required

All employers operating under the Georgia Workers’ Compensation Law must post notice on durable material publicly and permanently in a conspicuous place in each business location. Upon request, the Board will furnish suitable notices free of charge. The notice must be in a form that it can be understood by all employees and read as follows: This business operates under the Georgia Workers’ Compensation Law. WORKERS MUST REPORT ALL ACCIDENTS IMMEDIATELY TO THE EMPLOYER BY ADVISING THE EMPLOYER PERSONALLY, OR AN AGENT, REPRESENTATIVE, BOSS, SUPERVISOR OR FOREMAN OF THE EMPLOYER.

The insurance company’s name must be posted, or if self-insured, the certificate of self-insurance must be posted in a prominent place.

Any person who fails or refuses to comply is subject to an administrative fine not to exceed $1,000.00.

Panel of Physicians Posting requirement:

The employer must post the appropriate posting notice with the Panel of Physicians, completely filled out, in a conspicuous place in every location. Must be printed and posted on legal size (8 1/2 x 14) paper.

Independent Contractors

Mistakenly classifying an employee as an independent contractor can result in significant fines and penalties.

View 20 factors used by the IRS and our independent contractor questionnaire to determine whether you have enough control over a worker to be an employer.

Other Tips

If your insured employs workers in multiple states or your insured’s employees are temporarily working out-of-state, they need to purchase insurance for all the states where their workers are located, according to each state’s laws. Call 1-800-476-2948 and let us walk you through it.

The nature of your insured’s business, number of employees being covered and past coverage and claims are all factors in how much their premium will cost.