Workers' Compensation by state

Workers' compensation requirements in Kentucky

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Does Kentucky require workers' compensation insurance?

Yes. Kentucky requires workers' compensation coverage once a business has one or more employees, under the Kentucky Workers' Compensation Act. Kentucky requires nearly every employer with one or more employees to carry workers' compensation coverage. Coverage is provided through private insurers or an approved self-insurance program.

Reviewed by Cornerstone Staff28 years of financial services state licensing experienceLast verified July 29, 2026

How the mandate works

Kentucky requires nearly every employer with one or more employees to carry workers' compensation coverage. Coverage is provided through private insurers or an approved self-insurance program.

Coverage trigger: One or more employees
If you go without coverage: Operating without required coverage can bring fines assessed per day of noncompliance and personal liability for an injured worker's benefits.

Notable exemptions

Exemptions are narrow and fact-specific; confirm your situation with the regulator or an agent before relying on one.

Certain agricultural employment
Domestic servants in a private home below statutory thresholds
Some voluntary workers and religious or charitable exemptions

Statutes and sources

Kentucky Workers' Compensation Act

Ky. Rev. Stat. Ann. sect. 342.0011 et seq.

Regulator: Kentucky Department of Workers' Claims . Last verified 2026-07-29 from the official source .

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