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Kansas workers' compensation insurance: Your guide to requirements and getting a policy
If you’re a Kansas 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 plays a crucial role in protecting Kansas businesses and their employees from the financial impact of job-related injuries or illnesses. For employees, it typically covers medical bills, a portion of lost wages, and rehabilitation costs. For employers, it provides a safeguard against most lawsuits that might otherwise arise from workplace incidents – and it can also cover legal expenses tied to such claims.
Let’s take a closer look at who needs coverage and how it works.
Yes, almost all Kansas employers are required to carry workers’ comp coverage for their employees, including part-time, full-time, leased workers, and even family members employed by the business.
According to the Kansas Department of Labor, some exceptions to this requirement include:
Certain agricultural employers
Employers with an annual gross payroll under $20,000
Realtors operating as independent contractors
Firefighters who are members of a relief association that has waived coverage
Truck drivers or freight operators with separate occupational accident insurance
Nonprofit directors, officers, or trustees (volunteers)
Corporate owners holding 10% or more of company stock
Sole proprietors, partnerships, or individuals who choose to opt out
Note: Wages paid to sole proprietors and their family members are excluded from payroll calculations.
Medical Care
Injured employees are entitled to receive necessary treatment to recover. However, employers have the right to choose the treating physician. If employees choose an outside provider, the employer or insurer is only responsible for up to $500 in costs.
Wage Replacement
Employees who miss work due to an injury or illness may be eligible for partial wage replacement. No payment is required for the first week of absence unless the employee misses three or more weeks, in which case that first week is paid retroactively. The benefit equals two-thirds of the employee’s average weekly wages, up to a state-mandated cap.
Benefit Levels (July 1, 2023 – June 30, 2024):
Maximum Weekly Benefit: $804
Minimum Weekly Benefit: $25
Minimum Weekly Survivor Benefit: $536
Vocational Rehabilitation
If returning to their previous role isn’t possible, employees may qualify for job retraining to reenter the workforce at a comparable wage. Some training costs may be covered by the employer or insurer.
Permanent Disability Benefits
Additional benefits may be available in cases involving permanent impairment, with details outlined in Kansas statutes.
Employers can obtain workers’ comp insurance through:
A Kansas-licensed insurance agent
The Kansas Insurance Department (group-funded pools)
The Division of Workers Compensation (self-insurance requirements)
Most employers will use the private market, but high-risk businesses may need to go through the Kansas Assigned Risk Pool.
Failing to carry workers’ compensation can result in civil penalties of twice the premium amount or $25,000 – whichever is greater. The state also reserves the right to shut down businesses not in compliance.
Kansas law also mandates that injury claims be filed within 200 days of the incident (or the last benefit payment).
For Employees
Employees should notify their employer of the injury as soon as possible. Under Kansas Statute K.S.A. 44-520, they must report it by the earliest of:
20 days from the date of the incident or injury due to repetitive trauma
20 days from the first medical treatment if still employed
10 days after their last day of work if no longer employed
For Employers
If not self-insured, employers must notify their insurance provider or group-funded pool. According to K.S.A. 44-557, the injury must be reported to the Division of Workers Compensation within 28 days if the employee misses any work beyond the day of the incident.
Workers’ compensation isn’t just a legal requirement – it’s a smart investment that helps protect your business and your team. It provides peace of mind for employees and reduces your exposure to costly legal risks.
Need help understanding or getting coverage? Beyond is here to assist every step of the way.
