Remote work has become standard for many businesses, but workers comp obligations do not disappear when employees work from home. Employers with remote workers still need to carry workers comp coverage, and there are some important nuances to understand.
Are Remote Workers Covered by Workers Comp?
Yes. In virtually all states, remote employees are covered by your workers comp policy just like on-site employees. If a remote worker is injured while performing work duties, your workers comp policy responds. This includes injuries that happen at their home office during work hours.
What Counts as a Work-Related Injury for Remote Employees?
A remote employee who trips and falls while walking to their home printer during work hours has a potentially valid workers comp claim. An injury that happens during a lunch break, a personal errand, or outside of working hours is generally not covered. The key question is whether the injury occurred while the employee was performing a work-related activity.
Multi-State Remote Workers
If you have remote employees working in states where your business does not have a physical location, you may need to add those states to your workers comp policy. Workers comp is regulated at the state level, and coverage requirements vary. An employee working remotely from New Jersey for a New York-based employer may need New Jersey workers comp coverage added to your policy.
Best Practices for Remote Worker Workers Comp
Maintain a list of all remote employees and the states they work from. Review your policy annually to confirm all states where remote employees work are covered. Establish clear work-from-home policies that define work hours and work spaces, which helps establish boundaries for what constitutes a work-related injury.
Get Guidance from Comp Matters Inc.
Comp Matters Inc. helps East Coast employers structure workers comp coverage correctly for remote and hybrid workforces. Call (631) 248-2500 for a free consultation.
Recent Comments