Unlocking Time and Attendance in HR: What Non-Desk Businesses Need
September 17, 2025
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If you’re a Delaware employer looking to protect both your business and your team, you’re in the right place. At Beyond, we provide the essential information you need to understand how workers’ compensation works and how to stay compliant.
Workers’ compensation insurance offers vital protection for both employers and employees in Delaware. For employees, it covers medical expenses, lost wages, and rehabilitation when work-related injuries or illnesses occur. For employers, it typically limits liability and protects against lawsuits arising from those workplace incidents.
In Delaware, employers with one or more employees are generally required to carry workers’ compensation insurance. Coverage can be provided through an actual Delaware workers’ compensation policy or, in some cases, a written rider/endorsement on an out-of-state policy that fully covers Delaware work activities. Employers may not charge employees any portion of the premium or expense of carrying workers’ compensation insurance.
Certain exemptions exist under Delaware law. For example, certain farm workers are exempt (although farm employers may elect to provide coverage), and casual employees or independent contractors may be exempt depending on the facts and the applicable statutory definitions. Important note: Delaware law also treats contractors/subcontractors differently in some contexts (they may be deemed employers rather than “employees”), and misclassification can create compliance risk, so employers should confirm exemptions under the statute and state guidance.
Business owners are not always automatically included under Delaware’s workers’ compensation law. Sole proprietors and partners are not included by default, but they may elect coverage. In addition, executive officers of corporations and LLC members are generally covered, but certain officers/LLC members may be able to elect not to be subject to Delaware workers’ compensation law using the state’s required election/exclusion process.
Delaware employers typically purchase workers’ compensation through a licensed private insurance carrier or an approved self-insurance arrangement. If you’re unable to secure coverage in the voluntary market, Delaware’s residual market option is the Delaware Workers’ Compensation Insurance Plan (DIP), administered through the Delaware Compensation Rating Bureau (DCRB). Applications generally require documentation showing that two Delaware-licensed insurers declined to offer coverage (within the required timeframe), and employers commonly apply through a licensed agent/broker.
Employers must also comply with incident reporting requirements. If an employee suffers a work-related injury or occupational illness, employers should maintain an internal record and file a First Report of Occupational Injury or Disease within 10 days after knowledge of the injury/illness with the Office of Workers’ Compensation and the employer’s insurance carrier. A first report is required no matter how minor the injury. Employers may be fined $100 to $250 for failure to file the first report.
Delaware takes noncompliance seriously. Under 19 Del. C. § 2374, an employer that refuses or neglects to maintain required coverage may face a civil penalty equal to three times the applicable annual premium (based on statutory calculation rules). If noncompliance continues after notice, Delaware law also provides for an additional assessment of $10 per day per employee (with a minimum of $250 per day) until compliance is restored. Uninsured employers may also face injunction to stop operating and may be liable to injured employees either for workers’ compensation benefits or in an action at law for damages (with certain defenses unavailable).
Beyond helps Delaware businesses stay compliant by offering streamlined payroll and HR tools that align with state requirements. If you’re unsure about how to stay compliant with workers’ comp regulations or how to integrate coverage into your HR processes, Beyond is here to guide you.
