Illinois' Workers' Compensation Insurance Law
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Workers' Compensation Laws in Illinois

In nearly every work situation, Illinois law requires employers to carry workers' compensation coverage. Even if you have only one part-time employee, you must provide coverage.

IL Workers' Comp: Key Details

  • Sole proprietors in IL can purchase workers' comp for themselves, but they are not required to unless they have employees of any kind.
  • Employees who are family members also must be insured unless…
    • They are bona fide corporate officers.
    • They work for an agricultural enterprise that employs less than 400 working days of labor per year.
    • They are immediate family members who reside with the employer.
  • If your company is in the construction business, trucking business operating at a construction site, or another extra-hazardous occupation, you should be aware that in almost all instances Illinois requires you to obtain insurance.
  • Illinois doesn't have a state workers' comp fund. Insurance must be purchased through a commercial insurance company or provided for through self-insurance.
  • In Illinois, failure to carry workers’ comp insurance carries a misdemeanor charge, but willfully failing to obtain insurance is a felony. Intentional noncompliance could result in a fine of up $500 per day, with a minimum of $10,000.

Still have questions about Illinois workers' comp laws? Visit the Illinois Workers' Compensation Commission.

Workers' Compensation Insurance: Further Reading

See Workers' Comp Laws Where You Live