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Restaurant Workers' Comp in Vermont

What Vermont requires of restaurants and bars for workers' compensation — when it kicks in, who's exempt, and what it costs.

Reviewed by J. Robert Smith, Licensed Insurance Agent (NPN 10378680). Last updated .

Yes. Vermont mandates workers' compensation for virtually every employer from the first employee—there is no headcount or payroll threshold for ordinary businesses. Any restaurant with staff, full-time or part-time, must carry coverage. Vermont enforces this strictly, and uninsured employers face fines, stop-work orders, and liability for benefits owed to injured workers.

Required?
Yes
Kicks in at
One or more employees under a contract of service; no minimum headcount or payroll threshold for ordinary (non-agricultural) businesses (21 V.S.A. 601, 687).
Restaurant rate
NCCI 9082 (Restaurant NOC), with 9083 for kitchen/fast-food exposure, roughly $1.20–$2.00 per $100 of payroll; mid hazard tier, Vermont trending somewhat higher than the low-cost western states. Approximate, industry tier.
Market
Competitive private market with no state fund; Vermont is NCCI-rated with an assigned-risk plan for employers unable to obtain voluntary coverage.

Is workers’ comp required for a restaurant in Vermont?

Vermont requires workers' compensation once you reach One or more employees under a contract of service; no minimum headcount or payroll threshold for ordinary (non-agricultural) businesses (21 V.S.A. 601, 687).. Sole proprietors and partners are excluded unless they affirmatively elect coverage. Up to four corporate officers or LLC members may exclude themselves, but only with prior Vermont Department of Labor approval. Also exempt: casual employment not in the employer's trade or business, amateur-sports participants, and agricultural/farm labor for an employer whose aggregate annual payroll is under $10,000.

What restaurant workers’ comp costs in Vermont

The restaurant class-code rate in Vermont is NCCI 9082 (Restaurant NOC), with 9083 for kitchen/fast-food exposure, roughly $1.20–$2.00 per $100 of payroll; mid hazard tier, Vermont trending somewhat higher than the low-cost western states. Approximate, industry tier.. Your premium is that rate applied per $100 of payroll and adjusted by your experience modifier, so it scales with how many people you employ and your claims history. Competitive private market with no state fund; Vermont is NCCI-rated with an assigned-risk plan for employers unable to obtain voluntary coverage.

What owners in Vermont miss

  • Vermont has effectively no employee-count threshold — hiring a single worker triggers the mandate, and the state enforces coverage aggressively, including stop-work orders against uninsured employers.
  • Officer and LLC-member exclusions are capped at four individuals and are not automatic: they require prior written approval from the Vermont Department of Labor.
  • Agricultural/farm labor is exempt only when the employer's aggregate payroll is under $10,000 in a calendar year — above that, farm employers must carry coverage.
  • The Vermont Department of Labor recalculates the minimum and maximum weekly compensation rates each year, so benefit ceilings shift annually.

Sources

Cost examples are illustrative national figures gathered from public filings and industry surveys. They are not quotes. Your actual premium depends on your state, carrier, revenue, payroll, location, and coverage selections. Restaurant Insurance Authority is an insurance marketing and referral service, not an insurer or licensed agency. We connect business owners with licensed independent commercial-lines agents who specialize in food and beverage. Questions? Call (855) 480-1410.

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