Is workers comp required in Hawaii?
Hawaii generally requires employers with one or more employees to carry workers compensation. Owners, partners and corporate officers are treated under their own rules, and some workers such as certain agricultural or domestic employees may be handled differently.
Buying coverage in Hawaii
Coverage in Hawaii is sold by private insurers. Every state also has a market of last resort, so even higher-risk or brand-new businesses can generally find a policy.
Who sets the rules
The Hawaii Disability Compensation Division (Department of Labor and Industrial Relations) oversees workers comp in Hawaii. In Hawaii, the National Council on Compensation Insurance (NCCI) provides the classification system and loss costs that insurers use to file rates.
What Hawaii employers should know
- Hospitality and tourism make up a large share of Hawaii's payroll, so housekeeping, food service and front-desk classes are common.
- Because TDI is also mandatory, many Hawaii employers review workers comp and TDI together at renewal.
Hawaii also requires most employers to provide Temporary Disability Insurance (TDI) and to comply with the Prepaid Health Care Act, which are separate from workers comp. See statutory disability coverage.
How premiums are calculated
Your Hawaii premium starts with payroll in each job classification. Experience mods, schedule credits and minimum premiums then adjust it, and the year-end audit settles the difference between estimated and actual payroll. Learn more about how workers comp rates work and preparing for an audit.
Industry guides for Hawaii employers
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Restaurant workers comp
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Retail workers comp
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Small business workers comp
Workers comp for small businesses: when it is required, how premium works, pay-as-you-go billing…
Hawaii workers comp FAQ
Is workers comp required in Hawaii?
Hawaii generally requires employers with one or more employees to carry workers compensation. Rules and exceptions change, so confirm your situation with the state agency or an agent.
Who oversees workers comp in Hawaii?
The Hawaii Disability Compensation Division (Department of Labor and Industrial Relations) administers the workers compensation system in Hawaii.
Can I buy Hawaii workers comp from a private insurer?
Yes. Private insurers write workers comp in Hawaii, and a market of last resort is available for businesses that are hard to place.
How is workers comp priced in Hawaii?
In Hawaii, the National Council on Compensation Insurance (NCCI) provides the classification system and loss costs that insurers use to file rates. Your Hawaii premium starts with payroll in each job classification. Experience mods, schedule credits and minimum premiums then adjust it, and the year-end audit settles the difference between estimated and actual payroll.