Washington D.C. Workers’ Compensation

USTAX BAY
Apr 28
2 min read

What Employers Must Know

Written by US Tax Bay

At US Tax Bay, we help businesses stay compliant across the U.S. If you’re operating in Washington D.C., it’s essential to understand your workers' compensation obligations. This guide covers everything you need to know about D.C. workers' compensation laws, exemptions, penalties, and how to purchase insurance.

Is Workers’ Compensation Required in Washington D.C.?

Yes.

In Washington D.C., every business with employees must carry workers’ compensation insurance to protect their workers in case of injuries or work-related illnesses.

Which Workers Can Be Excluded from Coverage?

There are specific nuances to D.C.’s workers' compensation law:

If an employer is an uninsured subcontractor, employees can assert a claim directly against the general contractor.

Otherwise, virtually all employees must be covered.

How to Purchase Workers’ Compensation Insurance in D.C.

Employers can obtain workers' compensation insurance by purchasing:

Private insurance policies from authorized carriers licensed in Washington D.C.

US Tax Bay can assist you in choosing the right policy for your business needs and industry risk profile.

Penalties for Not Having Workers’ Compensation Insurance

The consequences for noncompliance are serious:

Fines ranging from $1,000 to $10,000
Personal liability for injuries sustained while uninsured
Continuous violations can result in misdemeanor charges, additional fines, and even imprisonment for up to one year

Protecting your workers and your business is critical.

Death Benefits for Workers’ Families

In the unfortunate event of a worker’s death from a job-related injury, eligible family members may receive:

50% of the worker’s average weekly wage if there are no children
An additional 17% for each child, up to a maximum of 67% of the worker’s wages
A lump-sum payment of up to $5,000 to cover funeral expenses