Connecticut Workers’ Compensation

A Complete Guide for Employers

Written by US Tax Bay

At US Tax Bay, we make it easy for businesses to meet their state compliance obligations. If you're operating in Connecticut, understanding workers’ compensation insurance requirements is essential to stay compliant and protect your business and employees. Here’s everything you need to know about Connecticut workers' compensation laws, exemptions, penalties, and insurance options.

Is Workers’ Compensation Required in Connecticut?

Yes.

Every business in Connecticut with one or more employees is required to carry workers' compensation insurance. This includes full-time, part-time, and seasonal workers unless specifically exempt.

Which Workers Can Be Excluded from Coverage?

In Connecticut, some workers may be exempt from mandatory workers’ comp coverage:

• Sole proprietors

• Business partners

• Independent contractors

• Part-time employees working 26 hours per week or less

However, careful worker classification is critical, as misclassification can lead to hefty fines and legal action.

How to Purchase Workers’ Compensation Insurance in Connecticut

Employers can purchase workers’ compensation insurance through:

• Private insurance carriers licensed to operate in Connecticut

At US Tax Bay, we help businesses find the right insurance solutions, whether you're a small startup or an expanding enterprise.

Penalties for Not Having Workers’ Compensation Insurance

The Connecticut Workers' Compensation Commission enforces strict penalties for noncompliance:

• Immediate stop-work orders issued if no valid insurance is found

• Fines of $300 per worker per day until proper coverage is secured

Operating without workers’ compensation insurance can quickly become a devastating financial burden — and even lead to criminal liability in serious cases.

Death Benefits for Workers’ Families

In the unfortunate event of a workplace fatality, eligible family members can receive:

• Death benefits based on a portion of the deceased employee’s average weekly earnings

• Cost-of-living adjustments applied annually

• A lump-sum payment of $4,000 to assist with funeral expenses

Workers' compensation ensures surviving families receive necessary financial support during a difficult time.

Need Help Setting Up Your Business Payroll and Compliance?

U.S. TAX BAY makes it simple for new and growing businesses!

We handle everything you need:

✔️ Payroll Tax Registration

✔️ FEIN (Federal Employer Identification Number) Registration

✔️ Secretary of State (SOS) Business Registration

✔️ Workers' Compensation Registration Support

✔️ Full-Service Payroll Management

✔️ Unemployment Insurance Account Setup

✔️ Ongoing Compliance Services

⚡ Fast Turnarounds. Expert Support. Affordable Pricing. ⚡

📞 Get a FREE Consultation Today!

🌐 Visit: www.ustaxbay.com

📧 Email: info@ustaxbay.com

Why Choose US Tax Bay?

At US Tax Bay, we don't just set up your business — we help you maintain compliance year after year, with services that cover:

• Payroll management

• Workers' compensation registration

• Full legal compliance with state and federal regulations

Stay protected, stay compliant, and grow your business confidently with US Tax Bay!

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