I have business locations in Missouri and Kansas. The Missouri location has 3 employees and the Kansas location has 5. I was informed that I didn′t have to have Missouri workers′ compensation insurance because I only have three employees. Is that correct?

Short answer, no. In the state of Missouri employers with 5 or more employees must carry workers′ compensation insurance. The only exception is for the construction industry. If you are in the construction industry and have one or more employees you are required to carry workers′ compensation insurance. The statute does not differentiate between full-time or part-time employees. Neither does it state that the five employees have to be in Missouri. If an employer has locations in various states, they need to count the total number of employees they have. If the sum of those employees equals 5 (1 or more for construction), then the employer must carry workers′ compensation for the Missouri employees. Whether or not you need to provide coverage for the employees in the other states would depend on their specific laws. In this particular case, the employer has 8 employees thus requiring coverage.

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