Short answer: Yes. Massachusetts requires every employer to carry workers' compensation for its employees, no matter how many people it employs or how many hours they work, according to the Department of Industrial Accidents. Domestic workers are covered at 16 hours a week. Uninsured employers get a stop work order and fines of at least $100 a day.
No hours or headcount threshold
The Department of Industrial Accidents (DIA) requirements page says all employers operating in Massachusetts must carry workers' compensation for their employees, and for themselves if they are employees of their own company. The requirement applies regardless of hours worked or the number of employees. The only stated exception is domestic employees, who must work at least 16 hours a week to be covered.
Who isn't required to cover themselves
- LLC members, LLP partners and sole proprietors of unincorporated businesses don't have to cover themselves.
- Corporate officers who own at least 25% of the corporation can request an exemption.
Neither rule extends to employees. They must still be covered.
Out-of-state employers
Out-of-state employers must cover all employees working in Massachusetts. A policy with Massachusetts in Item 3A satisfies the rule. If Massachusetts appears only under Item 3C, the insurer has to file Form 154 to verify coverage.
Stop work orders and fines
The DIA's Office of Investigations issues a stop work order to an uninsured employer. Per the DIA:
- Fines start at $100 per day, including weekends and holidays, and keep accruing until coverage starts and the fine is paid.
- If you don't appeal, the business must shut down until proof of coverage is filed and fines are paid.
- If you appeal, fines rise to $250 per day, but the business can stay open.
- Criminal charges can bring up to one year in prison and/or a fine up to $1,500, and uninsured employers can be barred from public contracts for three years.
Bottom line
In Massachusetts, a single part-time employee needs coverage. Line up a policy before the first shift. See our workers' compensation insurance overview.
Questions? Contact Alishahi Insurance or call (877) 711-4545. See insurance in Massachusetts.
Frequently asked questions
Is workers' comp required in Massachusetts for part-time employees?
Yes. The requirement applies regardless of hours or headcount.
When are domestic workers covered in Massachusetts?
When they work at least 16 hours a week.
Who can be exempt in Massachusetts?
LLC members, LLP partners and sole proprietors for themselves, and corporate officers owning at least 25% by request.
What happens if a Massachusetts employer has no coverage?
A stop work order with fines starting at $100 per day, rising to $250 per day on appeal, plus possible criminal charges.
What do out-of-state employers need in Massachusetts?
Massachusetts in Item 3A, or an insurer-filed Form 154 if it appears only under Item 3C.
Alishahi Insurance · 439 N Canon Dr, Penthouse, Beverly Hills, CA 90210 · (877) 711-4545 · CA License #4348151. General information only. This isn't legal, tax or financial advice or a coverage determination. Coverage depends on policy language and underwriting, and rules vary by state.