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Wisconsin workers' compensation insurance: Your guide to requirements and getting a policy
If you’re a Wisconsin 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.
Under Wisconsin law, employers must provide workers’ compensation insurance if they meet certain conditions outlined by the Department of Workforce Development:
If your business employs three or more workers—regardless of whether they are full-time or part-time—you must have workers’ comp coverage as soon as the third employee is hired.
If you pay $500 or more in total gross wages in a calendar quarter to one or more employees performing work in Wisconsin, you are required to obtain a policy by the 10th day of the following quarter.
If you are a farmer with six or more employees working on the same day for 20 days during a calendar year, coverage must be in place by the 10th day after that 20th day.
Additionally, out-of-state businesses with employees working in Wisconsin must also maintain a policy through an insurer licensed in Wisconsin and ensure the state is listed in Section 3a of the policy.
Some categories of workers may be exempt from this requirement. Exemptions may apply to:
Domestic workers
Volunteers
Certain farm laborers
Federal employees
Real estate agents, brokers, or salespeople
Tribal enterprise workers
Casual labor in limited situations
Always verify exemptions with official state resources, and remember that even if you think your business qualifies for one, it may still be wise to voluntarily secure coverage.
Workers’ compensation policies in Wisconsin are designed to assist employees recovering from job-related injuries or illnesses by covering a variety of needs, such as:
Medical treatment for injuries sustained at work, from emergency care to prescriptions and rehabilitation.
Wage loss compensation for temporary disability (both partial and total). Eligible employees generally receive around two-thirds of their usual earnings, subject to a state maximum, as long as they have medical documentation.
Benefits for permanent disability, if a worker suffers long-term loss of function or capacity. The amount paid depends on the severity and type of disability.
Vocational rehabilitation services may also be covered, including retraining or skills development when an employee is unable to return to their prior role.
Death and burial benefits for the family of an employee who dies from a workplace-related incident.
Businesses can purchase workers’ comp insurance through one of the roughly 300 private insurers licensed in Wisconsin. The state itself does not issue policies.
If you’re unable to obtain coverage on the open market, your insurance agent can submit an application to the Wisconsin Compensation Rating Bureau, which oversees the state’s assigned risk pool and can help you obtain a policy.
Failing to carry required workers’ comp insurance can lead to significant consequences, such as:
A fine of twice the estimated premium that should’ve been paid or a minimum of $750, whichever is higher.
Temporary business closure by state authorities until valid insurance is obtained.
Personal liability for medical and wage costs of injured employees during the uninsured period.
A $100 per day fine for lapses in coverage lasting seven days or less.
It is illegal for employers to deduct any portion of the insurance premium from employee wages.
Employees are expected to inform their supervisor immediately after any injury, no matter how minor it seems. Medical care should be sought right away, and documentation such as treatment records and bills should be kept.
Employers must be notified without delay and should file a claim promptly. The general rule is:
Claims must be filed within two years of the injury date, or
Within 12 years if the employer was aware (or should have been aware) of the injury.
There’s no time limit for filing claims related to occupational illnesses or certain traumatic injuries.
Wisconsin employers seeking more guidance can explore these official resources:
Having proper coverage isn’t just a legal requirement, it’s also a smart investment. Workers gain peace of mind knowing they’re protected if injured on the job, while employers avoid financial and legal exposure from unexpected incidents.
Beyond is here to support your business with tools and resources to make compliance simple and stress-free.
