Maryland Workers Comp Insurance

With limited exceptions, every employer in Maryland with one or more employee(s) is required by law to have a valid workers' compensation policy at all times. This "no fault" insurance not only provides injured workers with medical care and partial wage replacement, but also protects the policyholders from potentially damaging lawsuits. Although most companies in MD purchase a traditional commercial insurance policy, there are alternative methods of coverage which include licensing as a self insurer, gaining membership in a self insurance group, or obtaining coverage in the Assigned Risk Pool.

MD Workers Comp Insurance Specific Regulations

• A company that has one or more employees in Maryland regardless of part time or full time employment
• If you work for someone else you will not be covered by their insurance policy unless you are an employee. This requires independent contractors to have their own workman’s compensation insurance
• Maryland offers a private insurance market
• Maryland also offers a state fund called the Injured Workers Insurance Fund along with an assigned risk pool to help businesses that struggle to secure coverage, but often offer higher rates.
• In Maryland sole proprietors are excluded from coverage but have the option to opt in by completing the Maryland’s sole Proprietor Status as a Covered Employee Form
• Partners are excluded from coverage but have the option to opt in
• Corporate officers are included in coverage, but have the ability to opt in
• LLC members are included in coverage if you are compensated for your contributions, but if you own 20% or more interest you have the option to opt out