Workers comp coverage required in Missouri
Mandatory for employers with five or more employees, or one or more employees in the construction industry. Verified 2026-05-09.
Who must carry workers comp in Missouri?
Missouri workers compensation coverage is required Mandatory for employers with five or more employees, or one or more employees in the construction industry.
The threshold language matters: states write the rule slightly differently. Some count any worker, some count only W-2 employees, some count owners separately, some have industry-specific exemptions (agriculture, domestic service, casual labor). For a Missouri employer with a non-trivial workforce, the safest default is: assume coverage is required and confirm with the state department of insurance or a local agent.
How the threshold interacts with 1099s and subs
Individuals classified as independent contractors (1099) under common law tests are generally not considered employees for workers' compensation purposes. General contractors are typically liable for injuries to employees of uninsured subcontractors if the subcontractor is performing work that is part of the general contractor's usual business.
Penalty for going without
Penalties include fines up to $50,000, stop-work orders, and potential criminal charges. Employers can also be sued directly by injured employees. The financial penalty is usually a fraction of the human cost: an injured employee at an uncovered employer can sue directly under tort law instead of being limited to the workers comp benefit, exposing the owner to lost-wage damages, pain and suffering, and punitive damages without the corporate veil.
Related reading
FAQs
Who has to carry workers comp in Missouri?
Mandatory for employers with five or more employees, or one or more employees in the construction industry.
When does the requirement kick in for a new Missouri employer?
The clock starts on the first day the first qualifying employee is on the books. Missouri does not have a grace period for new employers, so a policy needs to be bound on or before the first hire date. Some agents can issue same-day binders for low-risk class codes.
What is the penalty for not having workers comp in Missouri?
Penalties include fines up to $50,000, stop-work orders, and potential criminal charges. Employers can also be sued directly by injured employees.
Do 1099 contractors trigger the coverage requirement in Missouri?
Individuals classified as independent contractors (1099) under common law tests are generally not considered employees for workers' compensation purposes.
Are subcontractors counted toward the threshold in Missouri?
General contractors are typically liable for injuries to employees of uninsured subcontractors if the subcontractor is performing work that is part of the general contractor's usual business.
What happens if I am audited and found non-compliant in Missouri?
Missouri typically issues a stop-work order, assesses back premium for the period of non-coverage, and adds penalties on top. Specifically: Penalties include fines up to $50,000, stop-work orders, and potential criminal charges. Employers can also be sued directly by injured employees. Severe or repeat violations can lead to criminal charges and personal liability for the business owner, separate from the corporate veil.