Is workers comp required in North Dakota?
North Dakota generally requires employers to obtain workers compensation coverage through the state's monopolistic fund rather than private insurers. 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 North Dakota
Private insurers cannot sell standard workers comp in North Dakota. Employers obtain it from the North Dakota Workforce Safety and Insurance (WSI) unless they qualify to self-insure. Because the state coverage does not include employers liability the way a private policy does, many employers add stop-gap employers liability from a private insurer, often on their general liability policy. Businesses with employees in other states also need private workers comp for those states.
Who sets the rules
The North Dakota Workforce Safety and Insurance (WSI) oversees workers comp in North Dakota. North Dakota sets premiums through its state fund rather than a private rating bureau.
What North Dakota employers should know
- Because private carriers cannot write North Dakota workers comp, businesses often add stop-gap employers liability from a private insurer.
- Oil field service companies that also work in neighboring states need coverage arranged for each state.
North Dakota facts employers ask about
North Dakota is a monopolistic state. Workforce Safety & Insurance (WSI) is the exclusive provider of workers compensation for employers in the state, and employers with employees must obtain coverage from WSI rather than a private insurer. Premiums are based on payroll and the employer's industry classification, with a minimum premium.
WSI coverage is built around North Dakota law. Employers whose workers travel to other states, for example oilfield service crews or trucking companies, generally need private coverage for those states as well, and many buy stop-gap employers liability from a private insurer to respond to lawsuits that the state coverage does not address. Customer contracts in the energy sector commonly require proof of it.
WSI offers safety programs and premium discounts for qualifying employers. An agent can help you coordinate WSI coverage with a private general liability policy carrying the stop-gap endorsement.
Out-of-state employers sending workers into North Dakota should contact WSI about coverage requirements before work begins, especially in the oil and gas region.
Sources: Workforce Safety & Insurance (North Dakota). Rules change; confirm current requirements with the agency before you rely on them.
How premiums are calculated
Premium for North Dakota state-fund coverage is set by the fund under its own rules and rate tables. Ask the North Dakota Workforce Safety and Insurance (WSI) for current rates and programs, and ask an agent about private stop-gap and other-states coverage. Learn more about how workers comp rates work and preparing for an audit.
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North Dakota workers comp FAQ
Is workers comp required in North Dakota?
North Dakota generally requires employers to obtain workers compensation coverage through the state's monopolistic fund rather than private insurers. Rules and exceptions change, so confirm your situation with the state agency or an agent.
Who oversees workers comp in North Dakota?
The North Dakota Workforce Safety and Insurance (WSI) administers the workers compensation system in North Dakota.
Can I buy North Dakota workers comp from a private insurer?
No. Standard coverage comes from the state fund, though private insurers can provide stop-gap employers liability and coverage for other states.
How is workers comp priced in North Dakota?
North Dakota sets premiums through its state fund rather than a private rating bureau.