In North Dakota, like all states, it’s extremely important for employers to properly identify (and classify) their employees and secure proper workers’ compensation insurance coverage. North Dakota’s Workforce Safety and Insurance (WSI) requires employers to identify their employees and submit payroll data so WSI can calculate the premium during that policy period. Failure to submit payroll reports and/or pay premiums can lead to significant penalties under state law. Recently, the North Dakota Supreme Court confirmed that the penalties provided under state law are constitutional and not excessive (even when penalties are several times higher than originally assessed premiums).
