Workers Compensation Insurance Nevada

Nevada Workers’ Compensation Insurance Requirements

Workers’ compensation insurance is required for businesses with employees, with few exceptions. All employees working in Nevada, whether full-time or part-time, must be covered by a workers’ compensation policy.

Workers’ compensation is a no-fault system that protects employees by providing medical and disability benefits and lost wages. It also protects employers by limiting their liability in the case of a workplace injury.

Factors That Impact Coverage:

Sole proprietors and partners: Excluded from coverage, but may include themselves.
Contractors: Sole proprietors licensed as a contractor or subcontractor must find coverage.
Corporate officers and members of an LLC: Included in coverage, but may exclude themselves.

Nevada Workers’ Compensation Rates

Nevada workers’ compensation rates are some of the lowest in the country. A 2018 Oregon study found that Nevada employers pay, on average, less than $1.50 per $100 in payroll, and ranked 47th in the nation for cost.

This may be in part to the state’s $36,000 payroll cap. Most states require the full payroll of all covered employees to be factored in to the insurance premium. The rate is multiplied by each $100 in payroll, and then other debits or credits may be applied. (Learn more about how your workers’ compensation premium is calculated.)

Nevada only requires the first $36,000 of payroll for each covered employee, which reduces insurance premiums for businesses with higher-paid employees.