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New Hampshire workers' compensation insurance: Your guide to requirements and getting a policy
If you’re a New Hampshire 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 critical protection to both employees and businesses. For employees, it provides peace of mind knowing they’ll receive medical care and wage replacement in the event of a job-related injury. For employers, it offers essential legal protection against costly lawsuits and state-imposed fines — in some cases, even preventing forced business closure due to noncompliance.
Now that we understand the importance of this coverage, let’s explore which businesses in New Hampshire are required to carry it.
According to New Hampshire law, any employer with at least one employee, whether full-time or part-time, must carry workers’ compensation insurance. This includes businesses that employ family members — such as spouses, children, or parents — as well as nonprofit organizations. Subcontractors working under a general contractor are also required to be covered.
In addition, LLCs or corporations with more than three executive officers or members must maintain workers’ compensation coverage. Employers must also post proof of coverage in the workplace.
Some categories are exempt from the coverage requirement:
Sole proprietors
Independent contractors
LLCs or corporations with fewer than three members/officers and no employees
Interstate railroad workers
Direct sellers
Licensed real estate professionals
Individuals involved in residential placement of people with disabilities
However, even if not required, employers may choose to carry coverage voluntarily – a move that can enhance employee confidence and reduce long-term risk.
Here’s what a standard policy includes:
Medical Expenses
Covers necessary medical treatment, including doctor visits, hospitalization, nursing, and rehabilitation.
Temporary Partial Disability
Compensates employees unable to earn their previous wages due to partial disability. New Hampshire has a three-day waiting period unless the worker returns within five days.
Weekly Indemnity Payments
Provides ongoing payments during recovery, based on average earnings from the previous 26–52 weeks.
Temporary Alternative Duty
Employers with over five employees must offer temporary work opportunities for recovering employees.
Permanent Impairment Awards
A one-time payout is available for permanent loss of body function or spinal injury, based on previous earnings.
Vocational Rehabilitation
A structured, step-by-step program to help injured workers return to the workforce – ideally earning the same wage as before.
Death Benefits
Provides weekly payments to dependents and up to $10,000 in funeral and burial expenses.
Employers can obtain coverage through any private insurer licensed in the state. If denied coverage, the insurer must inform the employer about the Assigned Risk Plan via the National Council on Compensation Insurance (NCCI), along with application instructions.
Self-insurance is also an option. To qualify, businesses must submit a financial guarantee and application through the Workers’ Compensation Self-Insurance Program, including a balance sheet and a bond, deposit, or cash reserve.
Failure to carry proper workers’ compensation insurance in New Hampshire can result in:
A $2,500 flat fine
An additional $100 per employee per day without coverage
Full liability for any related medical costs
Possible business closure by state order
Employees must report injuries to their employer within two years of the incident and may file a benefits claim within three years. Prompt reporting is encouraged.
Employers must submit a First Report of Injury to the Department of Labor within five days of notification. Employees must also file a Notice of Accidental Injury or Occupational Disease. Both forms must be retained by the employer for at least five years.
Injured employees in New Hampshire may choose their own doctor and are entitled to a second opinion. However, if the employer uses a managed care program, the employee must select from a list of approved providers.
For further information, reach out to the New Hampshire Department of Labor.
Understanding and complying with New Hampshire workers’ compensation laws is essential for protecting your business and employees. A proper policy not only keeps your company legally compliant but also offers peace of mind and financial protection.
If you have questions or need help finding coverage, Beyond is here to support your business every step of the way.
