Does the District of Columbia require workers’ compensation insurance?
Yes. The District of Columbia requires workers' compensation from the first employee. DC Code 32-1534 says every employer shall secure payment of compensation, and 32-1501 makes anyone using the service of another for pay in DC an employer, with no head-count floor. Casual workers outside the usual business, government employees, and some commission-only real estate agents fall outside the Act, and there is no owner waiver form to file.
Updated . Written by Andre Beukers, principal at Redoubt, a commercial insurance agency in Salt Lake City, not a government office.
How many employees before the District of Columbia requires workers' comp?
Any person or business using the service of another for pay within the District is an employer under DC Code 32-1501, and 32-1534 requires every employer to insure or self-insure. There is no minimum head count, so one part-time employee is enough. A household employer comes in once domestic workers log 240 hours or more in a calendar quarter, in the current or previous year.
The Act covers injuries in DC to employees working there, and injuries elsewhere when the job is principally localized in DC (DC Code 32-1503). A nonresident employer whose worker is only temporarily or intermittently in the District is exempt if its home-state policy covers the DC work.
Source: DC Code 32-1501, checked .
Which owners, officers, and family members are exempt in the District of Columbia?
The Act excludes a short list of workers from the definition of employee in DC Code 32-1501(9): federal and DC government employees, congressional office staff, interstate railroad workers, casual workers outside the usual course of the business, and licensed real estate agents paid substantially all in commissions under a written independent contractor agreement. The Act has no family-member exclusion and no election for corporate officers or LLC members to opt out.
DOES's employer brochure lists sole proprietors, casual workers, and unpaid volunteers as not covered. A general contractor is liable for the employees of any subcontractor that has not secured coverage (DC Code 32-1503(c)), so an uninsured sub's crew lands on the GC's policy.
Source: DC Code 32-1501(9), checked .
What happens to a the District of Columbia employer with no workers' comp?
An employer that fails to secure coverage is assessed a civil fine of $1,000 to $10,000 under DC Code 32-1539. When the employer is a corporation, its president, secretary, and treasurer are each liable for the fine and personally liable, jointly with the corporation, for any benefits owed on an injury during the uninsured period. Hiding or transferring assets after an injury to avoid paying is a misdemeanor with up to a year in jail.
Source: DC Code 32-1539, checked .
Who enforces workers' comp in the District of Columbia?
The Office of Workers' Compensation in the DC Department of Employment Services enforces the requirement. It monitors employers for coverage, assesses fines, and pays injured workers of uninsured employers from the Special Fund. The Department of Insurance, Securities and Banking regulates the carriers and their rates, not the employers.
Source: DC DOES, Workers' Compensation, checked .
Where do the District of Columbia employers buy coverage?
DC is a private-market jurisdiction with no state fund. Employers buy from an insurer authorized to write workers' compensation in the District, or qualify with DOES to self-insure under DC Code 32-1534. An employer no voluntary carrier will write goes to the assigned risk pool, which the Department of Insurance, Securities and Banking says NCCI runs as the market of last resort.
Source: DC DISB, Insurance Markets for CBEs, checked .
Who sets the class codes and rates in the District of Columbia?
The District is an NCCI jurisdiction. NCCI files the advisory loss costs for DC with the Department of Insurance, Securities and Banking, which reviews them under DC Code 32-1542.02, and publishes a yearly DC state advisory report on its filing. Class codes, experience mods, and loss costs come from NCCI; each carrier files its own multiplier on top.
Source: NCCI, State Advisory Resources: District of Columbia, checked .
Is there an exemption or waiver form in the District of Columbia?
No. DC has no owner waiver or exemption certificate; the DOES workers' comp forms list carries none. An owner who is not an employee under the Act simply has nothing to insure. What the District does require of an insured employer is posting a Notice of Compliance (Form 1 DCWC) at each workplace, showing the carrier's name and address and the policy expiration date, under DC Code 32-1536.
With no waiver to show, an owner-only business asked for proof usually needs a certificate of insurance. Whether a policy fits depends on the business and who works in it.
Source: DC Code 32-1536, checked .
Sorting out the District of Columbia workers' comp for your business
Tell Redoubt what the business does, who works in it, and what the the District of Columbia requirement in front of you says. We will say whether a policy, a waiver, or an exclusion fits.
This is general insurance information, not legal advice or a coverage determination. Statutes, agency instructions, policy forms, and the facts of the business control.
Workers’ comp requirements in every state
Each state page gives the employee threshold, the owner and officer exemptions, the penalty for going without, the rating bureau, the market, the enforcing agency, and the exemption filing, each with its statute or agency source.
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The hub, and the the District of Columbia pages that go deeper
District of Columbia workers’ comp FAQ
Do I need workers' comp in DC with only one employee?+
Yes. DC Code 32-1501 makes anyone using the service of another for pay in the District an employer, and 32-1534 requires every employer to secure coverage. Part-time employees count; only casual work outside the usual course of the business is excluded.
Can a DC sole proprietor or LLC owner get a workers' comp waiver?+
There is no waiver form. DOES's employer brochure says sole proprietors are not covered. The Act has no opt-out for corporate officers or LLC members, so an owner paid by the entity should confirm with the Office of Workers' Compensation.
Am I liable for my subcontractor's workers in DC?+
Yes, if the subcontractor has not secured coverage. DC Code 32-1503(c) makes the contractor liable for, and responsible for securing, compensation for a subcontractor's employees. Collect a current certificate from every sub before work starts.
My business is based in Maryland or Virginia. Do I need a DC policy?+
It depends on where the work is localized. DC Code 32-1503 exempts a nonresident employer whose worker is only temporarily or intermittently in DC, if the home-state policy covers that work. Staff who work principally in DC need DC coverage on the policy.