Illinois generally requires Workers’ Compensation insurance when a business has:

One employee

even if that employee works only part time.

The Illinois Workers’ Compensation Commission confirms that employees must generally be insured from the moment they are hired.

There are limited statutory exceptions, but businesses should not assume they qualify for an exemption.

Read more:Illinois Workers’ Compensation Commission — Insurance Requirements

Workers’ Compensation Is Different From General Liability

These policies protect against different exposures.

Workers’ Compensation

Generally addresses qualifying work-related injuries and occupational illnesses involving employees.

General Liability

Generally protects the business against certain claims involving third parties, such as:

  • Customer injuries
  • Property damage
  • Premises liability
  • Products liability
  • Completed operations
  • Certain personal and advertising injuries

A General Liability policy does not replace Workers’ Compensation.