If you skip required workers compensation in Nevada, the state can fine you, shut your business or jobsite down until you get covered, and bill you the premiums you dodged for up to six years plus interest. On top of that, you lose the legal shield that normally stops an injured worker from suing you, and if an uninsured failure leads to a serious injury it can be charged as a felony. It is one of the harsher penalty stacks in the country.
Who this is for: Nevada owners weighing the risk of going without coverage, or worried they have been uninsured and want to understand the exposure.
The short version
- Nevada can order your business or jobsite to stop operating until you get covered.
- Administrative fines can reach 15,000 dollars for a repeat violation.
- The state can charge you back premiums for up to six years, plus interest.
- A failure that leads to a serious injury or death can be a felony.
- An uninsured employer loses the shield that keeps a hurt worker from suing the business directly.
What the state can actually do
Nevada's enforcement agency has several tools, and it can use more than one at a time.
| Consequence | What it means |
|---|---|
| Stop-work order | An order to immediately cease operations at your business or jobsite until you secure coverage, with law enforcement help if needed |
| Administrative fines | Fines that can reach 15,000 dollars for a second or later violation, with a graduated schedule for others |
| Back premiums | You can be charged the premiums you would have owed for up to six years of going uninsured, plus interest |
| Criminal charge | A misdemeanor, rising to a felony if an uninsured failure results in a serious injury or death |
| Lawsuit exposure | The injured worker can sue you, and you cannot use the usual comp shield to stop it |
The lawsuit problem is the worst part
The fines hurt, but losing the legal shield is what sinks businesses. Normally, workers comp is the exclusive remedy: a hurt employee gets comp benefits and cannot sue the business over the injury. Go uninsured and that protection disappears. The injured worker can either draw from the state's Uninsured Employers' Claim Account or sue you directly, and in that suit Nevada does not even make the worker prove your negligence caused the injury. If the state fund pays the worker, it then bills you back for every dollar, plus administrative costs and attorney fees. Owners and responsible officers can be personally on the hook.
A Las Vegas example
Illustrative, not a quote. A Las Vegas roofing contractor skips coverage to save money, and a crew member falls and is badly hurt. The state issues a stop-work order that halts every job the contractor has going, charges back premiums for the years he was uninsured, and because the injury is serious, the failure exposes him to a felony charge. The injured worker sues, and without the comp shield the contractor faces the full claim personally. See our workers comp for roofers page.
Real questions Nevada owners ask
What is the penalty for not having workers comp in Nevada?
It stacks up. Nevada can issue a stop-work order, fine you up to 15,000 dollars for a repeat violation, charge back premiums for up to six years plus interest, and pursue criminal charges.
Can the state really shut my business down?
Yes. Nevada can order you to immediately stop operating at your business or jobsite until you secure coverage, and law enforcement can help enforce that order.
Can I be charged with a crime for going uninsured?
Yes. Failing to carry required coverage is a misdemeanor, and if that failure leads to a serious injury or death, it can be charged as a felony.
What are back premiums?
If you went uninsured, Nevada can bill you the premiums you would have paid a carrier for up to six years of that gap, plus interest, on top of any fines.
Can an injured worker sue me if I have no coverage?
Yes. An uninsured employer loses the shield that normally blocks a direct lawsuit. The worker can sue you and does not even have to prove your negligence caused the injury.
What is the Uninsured Employers' Claim Account?
It is a state fund that pays benefits to a worker hurt by an uninsured employer. After it pays, the state bills the employer back for everything, including administrative costs and attorney fees.
Am I personally on the hook, or just my company?
You can be personally exposed. Owners and responsible officers face the criminal penalties, and once the comp shield is gone, the business's tort exposure can reach the owners.
Why Nevada owners choose Morrow
- We shop the right market for you. In Nevada you buy from private insurers on the open market; the state sold off its old fund in 2000, so there is no government fund to buy from. If no carrier will take you, a state-backed pool (the assigned-risk plan) still has to cover you, so we can shop your rate freely and always have a fallback for hard-to-place work.
- We catch pricing mistakes. Your price depends heavily on the category your work falls into for pricing (the class code). Put people in the wrong category and you overpay for years. We review your payroll and classifications before you buy.
- Proof of coverage, fast. Need a certificate (proof of coverage) for a general contractor or a landlord before Monday? We turn those around the same business day for most carriers.
- We help lower the score that drives your price. Insurers give you a score based on your past claims that raises or lowers your cost (the experience modification rate). We review it each year, flag errors, and connect you with return-to-work and safety resources that bring it down.
- Real people when a claim happens. When someone gets hurt, we stay involved through the life of the claim, not just at renewal.
Related Nevada guides
Every Nevada business is set up a little differently. These companion guides answer the same question for other situations, plus the national explainers behind the terms used here.
- Business insurance in Nevada (start here)
- Workers comp: the owner's overview
- I own an LLC: do I need workers comp?
- I'm a sole proprietor: do I need workers comp?
- I own a corporation (C-corp or S-corp): do I need it?
- We're a partnership: do we need workers comp?
- We're a nonprofit: do we need workers comp?
- My workers are 1099: do I still need it?
- Only part-time or seasonal staff: do I need it?
- I only employ family: do I need workers comp?
- Remote or out-of-state staff: do I need coverage?
- How much does workers comp cost?
- How do I get workers comp (even if turned down)?
- What insurance do I need for a contractor license?
- Workers compensation insurance, explained
- What workers comp costs (national guide)
- What workers comp does not cover
- Workers comp vs employers liability
- Nevada roofing workers comp
This guide is general information, not legal advice. Nevada rules and penalty amounts can change, so verify current requirements with the Nevada Division of Industrial Relations or a licensed advisor before you rely on them. Last updated: July 2026.