Who Needs Workers' Comp in Utah?
Utah requires all employers with one or more employees to carry workers' compensation insurance under the Utah Workers' Compensation Act (Utah Code Title 34A, Chapter 2). This applies to full-time, part-time, temporary, and seasonal workers. Sole proprietors and partners can elect coverage but are not required. Utah is known for having some of the lowest workers' comp rates in the country.
Penalties for Non-Compliance
Utah penalties include fines up to $1,000 for a first offense and up to $5,000 for subsequent violations. The Utah Labor Commission can issue stop-work orders. Uninsured employers are liable for all injury costs plus a penalty equal to the premium that would have been charged. The Labor Commission actively investigates complaints.
How Utah Rates Work
Utah uses NCCI class codes and is a competitive rating state. The Workers' Compensation Fund of Utah (WCF) is a major carrier that operates alongside private insurers. Utah consistently has some of the lowest workers' comp rates in the nation, thanks to a strong workplace safety culture, business-friendly regulatory environment, and effective claims management practices.
Common Utah Class Codes
| Code | Description | Risk Level |
|---|---|---|
| 8810 | Clerical Office Employees | Low |
| 8742 | Outside Salespersons | Low |
| 9101 | Restaurant NOC | Medium |
| 0042 | Landscape Gardening & Maintenance | Medium |
| 5403 | Carpentry NOC | Medium-High |
| 5606 | Contractors — General | Medium-High |
| 5551 | Roofing — All Kinds | High |