Unlocking Time and Attendance in HR: What Non-Desk Businesses Need
September 17, 2025
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If you’re a Massachusetts 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 in 2026.
Workers’ compensation insurance can benefit both employees and employers. For employees, it helps cover medical expenses and can replace a portion of lost wages if they’re injured or become ill due to work and need time to recover. For employers, having a policy in place can reduce litigation risk—because workers’ comp is generally the exclusive remedy for workplace injuries when proper coverage is in force.
In Massachusetts, every employer with employees is required to provide workers’ compensation coverage.
This requirement applies regardless of:
Hours worked: Part-time and full-time employees must be covered.
Company size: Even one employee triggers the requirement.
There is a narrow exception for domestic employees: they must work at least 16 hours per week to be covered under a workers’ compensation policy.
In general, truly independent contractors are not covered under your workers’ comp policy. However, misclassification is a major compliance risk—and Massachusetts law specifically calls out penalties for knowingly misclassifying employees to avoid premiums.
Yes. Massachusetts law includes limited categories of workers who may fall outside the workers’ compensation mandate (including certain domestic workers under the threshold above). Because “exceptions” depend heavily on how the work is structured, it’s smart to confirm classification before assuming someone is exempt—especially if the role looks like an employee relationship in practice.
Employers must fill out and post the Notice to Employees in a location where employees can read it.
The poster should be in a common area accessible to employees.
If your carrier/contact information changes, update and repost the notice.
Failure to post may subject the employer to a $100 fine.
Certain corporate officers can request an exemption from coverage if they own at least 25% of the corporation and file the required exemption affidavit.
Important: This exemption does not remove the obligation to cover all other eligible employees.
Business owners can obtain workers’ compensation insurance through private carriers and brokers.
If coverage is denied by two insurers licensed to write workers’ comp in Massachusetts, employers may be able to apply through the assigned risk process administered by Workers’ Compensation Rating and Inspection Bureau of Massachusetts (WCRIBMA).
A self-insurance license may be available for qualified employers with at least 300 employees and $750,000 in annual standard premium (among other requirements).
Massachusetts enforces workers’ comp compliance through Stop Work Orders (SWOs) and significant penalties:
A stop work order can require the cessation of all business operations at the job site/workplace.
A civil penalty of $100 per day can apply for each day out of compliance (with specific counting rules in the statute).
If the employer appeals, the stop work order is not in effect during a timely appeal, but if noncompliance is confirmed after the hearing, the penalty becomes $250 per day and the SWO becomes effective immediately at the end of the hearing.
Criminal penalties may also apply: a fine of up to $1,500 and/or up to 1 year imprisonment.
Employers who fail to maintain coverage (or knowingly misclassify employees to avoid premiums) can be debarred for 3 years from bidding on or participating in state or municipal funded contracts.
Having workers’ compensation insurance isn’t just a legal requirement—it’s also a practical safeguard. It gives employees confidence they’ll be supported if an injury or illness happens on the job. For employers, it provides peace of mind and helps reduce costly legal and compliance risk.
If you have questions or want help getting started with coverage, the Beyond team is here to help.
