Is workers’ comp insurance required in New Mexico?
In New Mexico, workers’ compensation insurance is required if an employer has three employees or more, both full-time and part-time.
New Mexico workers’ comp laws recognize a cross-state consideration, allowing businesses to hire remote or out-of-state workers that would be covered under a comprehensive workers’ compensation policy.
For example, if an employer has one employee in New Mexico and two more in other states, all three would be covered under the employer’s insurance.
New Mexico workers’ comp law is different for construction companies. Those working in construction are required to have workers’ compensation insurance for every employee, regardless of whether they have one or a dozen. Construction work carries more hands-on risk, meaning workers need comprehensive insurance because injuries and illnesses are more common in those industries.
Do you need workers’ compensation coverage if you’re self-employed?
Self-employed workers do not need to have worker’s compensation insurance under New Mexico workers’ comp laws. However, it is recommended for those offering hands-on services or seeking project employment with other companies, like subcontractors or independent contractors.
Who is exempt from New Mexico workers’ comp requirements?
Coverage is not required for domestic servants or real estate salespeople. Federal employees covered by the Federal Employees' Compensation Act or other federal programs are not required to carry coverage.
