Workers' Compensation Laws in New Jersey
All New Jersey employers not covered by federal programs must have workers' compensation coverage. Out-of-state employers may need workers' compensation insurance if they enter a contract of employment in New Jersey or if work is performed in New Jersey.
NJ Workers' Comp: Key Details
- Sole proprietors with no employees in NJ are not required to carry coverage, but may elect to cover themselves.
- Any business with one or more employees must carry coverage.
- Your business must either be approved for self-insurance or must purchase coverage from a private insurance provider.
- Failure to carry workers' comp coverage is a criminal offense punishable by a fine of $10,000 or imprisonment for up to 18 months.
More information on Workers' Comp regulations in New Jersey is available from the state's Department of Labor and Workforce Development.