All employers must provide workers' compensation insurance for their employees. The only exceptions are partners and sole proprietors, who may choose to be covered at their option, and domestic servants, who may be covered under a homeowners' policy rather than a workers' compensation policy, at the option of the employer. Agencies of the state and its political subdivisions are covered, as are auxiliary police, volunteer firefighters, and volunteers in search-and-rescue parties. Contractors must provide coverage for employees of their subcontractors, but they are entitled to receive an appropriate contribution from the subcontractor (NH Rev. Stat. Sec. 281-A:1et seq.).
Employee leasing. Employee leasing companies, not their client companies, are responsible for the workers' compensation coverage of their employees.
"No-fault" system. Workers' compensation is a "no-fault" system. Employees receive compensation without having to prove that the employer was at fault for the injury. They need only show that the injury arose "out of and in the course of employment." This no-fault aspect distinguishes workers' compensation from ordinary "tort" law, which provides for the compensation of injured people in most other circumstances. Under tort law, a person receives compensation only if the injury was caused by someone else's carelessness. The operative legal term is "negligence," which is simply the failure to use due care. In most cases, an injured party is compensated only if he or she can prove that the injury was caused by some other party's negligence.
Workers' compensation makes it easier for employees to collect because they don't have to show that the employer was negligent. All they have ...