Hawaii Workers’ Compensation

Essential Guide for Employers

Written by US Tax Bay

At US Tax Bay, we support businesses across the U.S. in navigating payroll, compliance, and insurance requirements. If you operate a business in Hawaii, it's essential to understand the state’s workers’ compensation laws to protect your employees—and your business.

Is Workers’ Compensation Required in Hawaii?

Yes.

Every business in Hawaii that employs any workers, whether full-time or part-time, is required to carry workers’ compensation insurance. There are no exceptions based on company size.

Which Workers May Be Excluded from Coverage?

Certain categories of workers are potentially excluded under Hawaii law:

• Voluntary or unpaid nonprofit organization workers

• Students working in exchange for room, board, or tuition

• Authorized ministers, priests, or rabbis

• Domestic workers

• Licensed real estate salespersons and brokers

Make sure to carefully review worker classifications to determine eligibility and avoid compliance issues.

How to Purchase Workers’ Compensation Insurance in Hawaii

Business owners can obtain coverage by purchasing a policy from private insurance carriers licensed in the state.

Need guidance selecting a provider? US Tax Bay can help you find the best policy for your needs and ensure full legal compliance.

Penalties for Noncompliance

Failing to carry proper workers’ compensation insurance in Hawaii can result in serious consequences:

• Fines of up to $100 per employee per day

• Potential lawsuits from injured employees for medical costs and lost wages

Noncompliance can lead to steep financial liabilities and legal troubles—it's essential to stay covered.

Death Benefits for Workers’ Families

In the event of a fatal work-related injury:

• Eligible family members may receive up to 67% of the worker’s average weekly wage

• Funeral expenses are also covered under Hawaii’s workers’ compensation law

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 Trust US Tax Bay?

We simplify business setup and compliance across all 50 states, including Hawaii.

From payroll to workers' compensation, our experts keep your business protected and compliant.

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