Illinois Workers Compensation - laws,rules,statutes,state contacts and detailed policy information

State: Illinois

Authority/Rating Bureau: NCCI, National Council on Compensation Insurance

Compulsory: Yes

Private Insurance: Allowed

Self-Insurance: Allowed

State Fund: No

Assigned Risk: NCCI, Contact the Illinois Workers Compensation Commission

Numerical Exceptions: None. If you have only one employee, even a part-time employee, you must obtain workers' compensation insurance.

Individual Waivers Allowed: No

Sole Proprietor: Excluded from coverage/may elect to be included/see special notes

Partners: Excluded from coverage/may elect to be included/see special notes

Corporate Officers: Included in coverage/may elect to be exempt/see special notes

LLC Members: Excluded from coverage/may elect to be included/see special notes

Contractors: See special notes

Special Notes: Section 1(b)3 of the Act provides that sole proprietors and business partners may elect to come under the Act or they may choose not to. There is a twist, though, in Section 3. It provides that employees who engage in extra hazardous* occupations must be covered under the law--but then subsections 3(17) and 3(20) allow sole proprietors, corporate officers, business partners, and members of limited liability companies to opt out. In summary, if you are a sole proprietor, business partner, corporate officer, or member of a limited liability company, and 1)you want to come under the Act, you must purchase insurance for yourself to be covered for a work-related injury or illness. 2)you don't want to be covered, you must choose to opt out, following the instructions in Section 3(17)(b). The Commission does not have an opt-out form. An insurance representative should provide a form if one is desired.

If your company is in the CONSTRUCTION business, TRUCKING business operating at a construction site, or other EXTRA HAZARDOUS occupations, you should be aware that new law (see 820 ILCS 185, Employee Classification Act) requires that, in almost all instances, you must obtain insurance. Also, a recent decision by the Illinois Supreme Court, Roberson v. Industrial Commission, states that referring to a trucker as an independent contractor, even in a written lease agreement, does not remove the trucking company's obligation to provide workers’ compensation insurance for those drivers.

Do employees who are family members have to be insured? Yes, unless 1) they are bona fide corporate officers (see Section 3(17)(b)); or 2) they work for an agricultural enterprise that employs less than 400 working days of labor per year or they are immediate family members who reside with the employer (see Section 3(19)).

Regulated By:

Illinois Department of Insurance

320 W. Washington

Springfield, IL 62767

217-782-4515

http://www.iwcc.il.gov/

Workers Compensation Statute:

http://www.iwcc.il.gov/workers.htm

Information on this page is provided only as a reference. While we strive to mantain accurate information on this site please realize workers compensation laws are complicated and subject to change at any time. If you need help with a workers compensation problem or have a specific situation or question please contact our office. Otherwise please consult your states governing authority or an attorney in your state of residency for assistance.

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WORKERS COMPENSATION CONSULTANT
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email: rks@workcompconsultant.com

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Illinois Workers Compensation Laws

Workers compensation policy information for the State of Illinois