A Tennessee workers comp exemption lets certain business owners legally go without workers’ compensation coverage on themselves — Owners in non-construction work are generally outside coverage unless they opt in: sole proprietors, partners and LLC members are not covered by the policy unless they elect in (Form I-4 is the election for sole proprietors and partners). Corporate officers in non-construction work may reject coverage with Form I-6.
Construction owners (construction services providers) must carry coverage on themselves unless they get an Exemption Registry exemption, which is open to: a sole proprietor; a corporate officer (no more than 5 officers per corporation); an LLC member with at least 20% ownership; a partner in a limited partnership, LLP or general partnership with at least 20% ownership;
or an owner of a family-owned business (no more than 5 owners per family business) (§ 50-6-903).
Employees without an ownership stake cannot be exempted. — while the law still requires coverage for employees once a business has 5 (non-construction employers with 5 or more employees must carry coverage). Construction employers must cover employees even if they have only 1 (§ 50-6-902). Employers with fewer than 5 regular employees may choose to buy coverage voluntarily (§ 50-6-106). or more.
This guide explains who qualifies for the Tennessee workers comp exemption, the exact form, where to file it, what it costs, and what an exempt owner gives up. Verified against Tennessee sources as of October 2026.
Tennessee at a Glance
| Coverage required at | 5 (non-construction employers with 5 or more employees must carry coverage). Construction employers must cover employees even if they have only 1 (§ 50-6-902). Employers with fewer than 5 regular employees may choose to buy coverage voluntarily (§ 50-6-106). employee(s) |
| Who may elect out | Owners in non-construction work are generally outside coverage unless they opt in: sole proprietors, partners and LLC members are not covered by the policy unless they elect in (Form I-4 is the election for sole proprietors and partners). Corporate officers in non-construction work may reject coverage with Form I-6. Construction owners (construction services providers) must carry coverage on themselves unless they get an Exemption Registry exemption, which is open to: a sole proprietor; a corporate officer (no more than 5 officers per corporation); an LLC member with at least 20% ownership; a partner in a limited partnership, LLP or general partnership with at least 20% ownership; or an owner of a family-owned business (no more than 5 owners per family business) (§ 50-6-903). Employees without an ownership stake cannot be exempted. |
| Exemption form | Construction owners: Initial Workers’ Compensation Exemption Registration Application (Bureau form 4523; Secretary of State form SS-4528). Renewal: Subsequent Workers’ Compensation Exemption Registration Renewal Form (form 4532 / SS-4532). Non-construction corporate officers: Form I-6, Corporate Officer Election Not to Accept Provisions of Workers’ Compensation (revoked with Form I-7). Sole proprietors and partners electing coverage: Form I-4. |
| Filed with | Construction exemption: filed with the Tennessee Bureau of Workers’ Compensation’s Workers’ Compensation Exemption Registry, online at https://www.tn.gov/exemptionregistry (portal: https://tnbear.tn.gov/WC/). Bureau phone: 615-532-1319. Form I-6: filed with the corporation, not the Bureau. Form I-4: filed with the insurer. |
| Renewal | Construction exemption is valid for no less than 2 years, and the expiration date is printed on the registration notice. It can be renewed during the 60 days before it expires. Form I-6 stays in effect until revoked with Form I-7. |
| Penalty for being uninsured | § 50-6-412: up to 1.5 times the accurate average yearly workers’ comp premium. For construction employers it is the greater of 1000 or 1.5 times that premium. If the employer then fails to get coverage as ordered, a second penalty is due immediately: the greater of 1000 or 1 times the average yearly premium. If noncompliance lasted less than 12 consecutive months the penalty is prorated, but it cannot be less than 1 month’s premium, or 1000 for construction services providers. The Bureau runs this through its Penalty Program. |
In This Tennessee Guide:
Who Qualifies for A Tennessee Workers Comp Exemption
Owners in non-construction work are generally outside coverage unless they opt in: sole proprietors, partners and LLC members are not covered by the policy unless they elect in (Form I-4 is the election for sole proprietors and partners). Corporate officers in non-construction work may reject coverage with Form I-6.
Construction owners (construction services providers) must carry coverage on themselves unless they get an Exemption Registry exemption, which is open to: a sole proprietor; a corporate officer (no more than 5 officers per corporation); an LLC member with at least 20% ownership; a partner in a limited partnership, LLP or general partnership with at least 20% ownership;
or an owner of a family-owned business (no more than 5 owners per family business) (§ 50-6-903).
Employees without an ownership stake cannot be exempted.
Corporate officers count as “employees” regardless of their duties (§ 50-6-102). In non-construction work, an officer may reject coverage by signing Form I-6 (“Corporate Officer Election Not to Accept Provisions of Workers’ Compensation”) and filing it with the corporation, not with the Bureau. The form includes an affidavit that the employer did not advise, counsel or encourage the officer to waive their rights.
The rejection takes effect only after 30 days pass from the signature date without an injury-causing accident. It is withdrawn with Form I-7 (Notice of Corporate Officer’s Revocation of Exemption). Officers who reject coverage still count toward the 5-employee threshold unless they are unpaid. Construction corporate officers (no more than 5 per corporation) instead need an Exemption Registry exemption (§ 50-6-903).
In non-construction work, LLC members, partners and sole proprietors are excluded by default. They may elect coverage by filing written notice on a Bureau form (Form I-4 for sole proprietors and partners) with the insurer at least 30 days before any injury; an LLC member must devote full time to the LLC to elect coverage (§ 50-6-102). The election is withdrawn by filing a Notice of Withdrawal.
In construction, an LLC member or partner owning at least 20% may get an Exemption Registry exemption (§ 50-6-903). Otherwise construction owners must be covered (§ 50-6-902).
How to File the Tennessee Workers Comp Exemption
The form is Construction owners: Initial Workers’ Compensation Exemption Registration Application (Bureau form 4523; Secretary of State form SS-4528). Renewal: Subsequent Workers’ Compensation Exemption Registration Renewal Form (form 4532 / SS-4532). Non-construction corporate officers: Form I-6, Corporate Officer Election Not to Accept Provisions of Workers’ Compensation (revoked with Form I-7). Sole proprietors and partners electing coverage: Form I-4..
It is filed with Construction exemption: filed with the Tennessee Bureau of Workers’ Compensation’s Workers’ Compensation Exemption Registry, online at https://www.tn.gov/exemptionregistry (portal: https://tnbear.tn.gov/WC/). Bureau phone: 615-532-1319. Form I-6: filed with the corporation, not the Bureau. Form I-4: filed with the insurer.. Renewal: Construction exemption is valid for no less than 2 years, and the expiration date is printed on the registration notice.
It can be renewed during the 60 days before it expires. Form I-6 stays in effect until revoked with Form I-7.. Filing on the state’s own site costs nothing beyond any statutory fee — the “exemption filing services” that advertise on this search charge for the same form.
Tennessee Workers Comp Exemption Rules at a Glance
The exact Tennessee workers comp exemption rules every owner should check before deciding to go without coverage:
| Employee threshold | 5 (non-construction employers with 5 or more employees must carry coverage). Construction employers must cover employees even if they have only 1 (§ 50-6-902). Employers with fewer than 5 regular employees may choose to buy coverage voluntarily (§ 50-6-106). |
| Who may elect out | Owners in non-construction work are generally outside coverage unless they opt in: sole proprietors, partners and LLC members are not covered by the policy unless they elect in (Form I-4 is the election for sole proprietors and partners). Corporate officers in non-construction work may reject coverage with Form I-6. Construction owners (construction services providers) must carry coverage on themselves unless they get an Exemption Registry exemption, which is open to: a sole proprietor; a corporate officer (no more than 5 officers per corporation); an LLC member with at least 20% ownership; a partner in a limited partnership, LLP or general partnership with at least 20% ownership; or an owner of a family-owned business (no more than 5 owners per family business) (§ 50-6-903). Employees without an ownership stake cannot be exempted. |
| Corporate officers | Corporate officers count as “employees” regardless of their duties (§ 50-6-102). In non-construction work, an officer may reject coverage by signing Form I-6 (“Corporate Officer Election Not to Accept Provisions of Workers’ Compensation”) and filing it with the corporation, not with the Bureau. The form includes an affidavit that the employer did not advise, counsel or encourage the officer to waive their rights. The rejection takes effect only after 30 days pass from the signature date without an injury-causing accident. It is withdrawn with Form I-7 (Notice of Corporate Officer’s Revocation of Exemption). Officers who reject coverage still count toward the 5-employee threshold unless they are unpaid. Construction corporate officers (no more than 5 per corporation) instead need an Exemption Registry exemption (§ 50-6-903). |
| LLC members and partners | In non-construction work, LLC members, partners and sole proprietors are excluded by default. They may elect coverage by filing written notice on a Bureau form (Form I-4 for sole proprietors and partners) with the insurer at least 30 days before any injury; an LLC member must devote full time to the LLC to elect coverage (§ 50-6-102). The election is withdrawn by filing a Notice of Withdrawal. In construction, an LLC member or partner owning at least 20% may get an Exemption Registry exemption (§ 50-6-903). Otherwise construction owners must be covered (§ 50-6-902). |
| Form | Construction owners: Initial Workers’ Compensation Exemption Registration Application (Bureau form 4523; Secretary of State form SS-4528). Renewal: Subsequent Workers’ Compensation Exemption Registration Renewal Form (form 4532 / SS-4532). Non-construction corporate officers: Form I-6, Corporate Officer Election Not to Accept Provisions of Workers’ Compensation (revoked with Form I-7). Sole proprietors and partners electing coverage: Form I-4. |
| Where to file | Construction exemption: filed with the Tennessee Bureau of Workers’ Compensation’s Workers’ Compensation Exemption Registry, online at https://www.tn.gov/exemptionregistry (portal: https://tnbear.tn.gov/WC/). Bureau phone: 615-532-1319. Form I-6: filed with the corporation, not the Bureau. Form I-4: filed with the insurer. |
| Renewal | Construction exemption is valid for no less than 2 years, and the expiration date is printed on the registration notice. It can be renewed during the 60 days before it expires. Form I-6 stays in effect until revoked with Form I-7. |
| Proof of exemption or coverage | Covered employers show a certificate of insurance. Exempt construction owners show their Exemption Registry registration notice, which includes the expiration date. General contractors and others can look up exemptions in the online registry at https://tnbear.tn.gov/WC/. |
What A Tennessee Workers Comp Exemption Gives Up
An exempt owner who is hurt on the job in Tennessee has no workers’ comp claim: no medical coverage from the policy, no wage replacement and no disability award. Health insurance may exclude work injuries. Most owners who physically work the job keep themselves covered for that reason.
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One honest paragraph on the “ghost policy”: a minimum-premium policy with no employees sold to owners who need a certificate of insurance. It is legal in many states, but it is not a Tennessee workers comp exemption — it is coverage with nobody on it. If you add a worker, it must be reported, or the audit will find them.
Workers Exempt by Law in Tennessee
Separate from the owner’s election, Tennessee law exempts some classes of workers from coverage — commonly domestic workers below a threshold, casual labor, some farm labor and licensed real-estate agents paid by commission. A worker who does not fit a listed class counts toward the threshold, no matter what the 1099 says.
Proving A Tennessee Workers Comp Exemption or Coverage
Covered employers show a certificate of insurance. Exempt construction owners show their Exemption Registry registration notice, which includes the expiration date. General contractors and others can look up exemptions in the online registry at https://tnbear.tn.gov/WC/.
Why the Tennessee Workers Comp Exemption Matters
The Tennessee workers comp exemption is a trade: lower cost today against no safety net if you are hurt. The second half of the trade is the one the search results never lead with. Tennessee treats construction and non-construction work differently.
Construction services providers must cover themselves and every employee no matter how few, and may exempt only themselves (as owners) through the paid online Exemption Registry (Title 50, Chapter 6, Part 9). Non-construction officers reject coverage with Form I-6, which is filed with the corporation rather than the Bureau and takes effect after a 30-day waiting period. Officers who reject coverage still count toward the 5-employee threshold unless unpaid.
If the Tennessee workers comp exemption rules above leave any doubt about whether a worker counts, ask the state agency before you decide — the answer is free, and the penalty for guessing wrong is not.
Employer side: the Tennessee requirements guide covers the threshold, who counts and the penalties in full. Hurt while exempt? You may still have a claim against a third party — a licensed attorney can say.
Frequently Asked Questions
Who can file a workers comp exemption in Tennessee?
Owners in non-construction work are generally outside coverage unless they opt in: sole proprietors, partners and LLC members are not covered by the policy unless they elect in (Form I-4 is the election for sole proprietors and partners). Corporate officers in non-construction work may reject coverage with Form I-6.
Construction owners (construction services providers) must carry coverage on themselves unless they get an Exemption Registry exemption, which is open to: a sole proprietor; a corporate officer (no more than 5 officers per corporation); an LLC member with at least 20% ownership; a partner in a limited partnership, LLP or general partnership with at least 20% ownership;
or an owner of a family-owned business (no more than 5 owners per family business) (§ 50-6-903).
Employees without an ownership stake cannot be exempted.
What form is the Tennessee workers comp exemption?
Construction owners: Initial Workers’ Compensation Exemption Registration Application (Bureau form 4523; Secretary of State form SS-4528). Renewal: Subsequent Workers’ Compensation Exemption Registration Renewal Form (form 4532 / SS-4532). Non-construction corporate officers: Form I-6, Corporate Officer Election Not to Accept Provisions of Workers’ Compensation (revoked with Form I-7). Sole proprietors and partners electing coverage: Form I-4.. File it on the state’s own site; filing services charge for the same form.
Can an exempt owner in Tennessee still collect benefits if hurt?
No. An exemption removes the owner from coverage, so there is no claim for medical care or lost wages. That is the trade.
Official Tennessee Sources & Resources
- Tennessee Tennessee Bureau of Workers’ Compensation (Department of Labor and Workforce Development): https://www.tn.gov/workforce/injuries-at-work.html
- Tennessee Workers’ Comp Statute: https://law.justia.com/codes/tennessee/title-50/chapter-6/part-9/section-50-6-903/
- U.S. Department of Labor — Workers’ Comp: dol.gov
- Insurance Information Institute: iii.org
This Tennessee workers comp exemption guide was last verified against official Tennessee sources in October 2026. Rules change — confirm the current figure with the state agency or a licensed attorney.
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Disclaimer: This guide is informational only and is not legal, medical, or financial advice. Workers Comp Explained is an independent educational resource, not a law firm or insurer. Workers’ comp benefits, settlement values, deadlines, and requirements vary by state and by the specific facts of your injury and change over time, and any settlement figures here are illustrative only.
Confirm your rights and any deadline with your state’s workers’ compensation board and a licensed attorney before you act.