The Kentucky workers compensation act — formally the Kentucky Workers’ Compensation Act (Kentucky Revised Statutes Chapter 342, “Workers’ Compensation”), found at Kentucky Revised Statutes (KRS) Chapter 342 — is the statute behind every workers’ comp claim, benefit and employer mandate in the state.
This plain-English guide to the Kentucky workers compensation act gives the section numbers next to the rules people actually need: who must be covered, the deadlines, the waiting period, the pay rate, the exclusive-remedy bargain, the ban on retaliation and the penalties. Verified against the official code as of October 2026.
Kentucky at a Glance
| Official name | Workers’ Compensation Act (Kentucky Revised Statutes Chapter 342, “Workers’ Compensation”) |
| Where it lives | Kentucky Revised Statutes (KRS) Chapter 342 |
| First enacted | 1916 (an earlier 1914 act was struck down as unconstitutional in Kentucky State Journal v. Workmen’s Compensation Board, 1914) |
| Reporting deadline | Notice to the employer “as soon as practicable” after the accident — KRS 342.185(1). For cumulative trauma, notice is due within 2 years of the date a physician tells the worker the condition is work-related — KRS 342.185 |
| Filing deadline | Application for adjustment of claim with the Department of Workers’ Claims within 2 years after the accident, or within 2 years after the death — KRS 342.185(1). For cumulative trauma, within 2 years of being told by a physician the condition is work-related, and no later than 5 years after the last work exposure — KRS 342.185. Occupational disease limits are set separately in KRS 342.316 |
| Exclusive remedy | KRS 342.690(1) — workers’ comp is the exclusive remedy against the employer and co-employees. Main exception: under KRS 342.610(5), if an injury or death results from the employer’s deliberate intention to produce it, the worker or dependents may take benefits under the chapter or instead sue the employer at law. Separately, under KRS 342.690(2), if the employer failed to secure coverage, the worker may choose benefits or a civil damages action |
In This Kentucky Guide:
What the Kentucky Workers Compensation Act Is
A workers’ compensation act is a no-fault deal written into state law: the employer pays for work injuries without the worker proving fault, and the worker gives up most lawsuits against the employer in return. The Kentucky workers compensation act dates to 1916 (an earlier 1914 act was struck down as unconstitutional in Kentucky State Journal v. Workmen’s Compensation Board, 1914).
It lives at Kentucky Revised Statutes (KRS) Chapter 342, and the official text is linked in the sources. (1) Under KRS 342.395, an employee may reject coverage under the Act by filing a written notice of rejection before an injury. (2) Under KRS 342.730(4), income benefits generally end when the worker reaches age 70 or 4 years after the injury or last exposure, whichever is later.
(3) Under KRS 342.125, the 4-year window to reopen an award runs from the original order granting benefits, and later orders do not restart it. Maximum and minimum weekly benefits change every year under KRS 342.143 and 342.740; check the Department’s 2026 Workers’ Compensation Benefit Schedule, which is based on a 2024 state average weekly wage of 1161.81.
Many claimants should confirm their rights with the Department of Workers’ Claims and a licensed Kentucky attorney.
Who the Kentucky Workers Compensation Act Covers
KRS 342.630 — any employer (other than one engaged solely in agriculture) with 1 or more employees in Kentucky, plus the state and every county, city, school district and other political subdivision with 1 or more employees;
insurance or approved self-insurance is required under KRS 342.340 KRS 342.650 — exempts certain domestic servants in private homes (employer with fewer than 2 domestic employees each regularly working 40 or more hours a week), short-term maintenance or repair work of 20 or fewer consecutive work days at the employer’s home, agricultural employees, and other listed classes
Deadlines in the Kentucky Workers Compensation Act
Waiting period: KRS 342.040(1) — 7 days; no income benefits for the first 7 days unless the disability lasts more than 2 weeks, in which case benefits are paid from day 1.
Wage-loss rate: KRS 342.730(1)(a) — 66-2/3% of the average weekly wage for temporary or permanent total disability, capped at 110% and floored at 20% of the state average weekly wage (the SAWW is set under KRS 342.740 and 342.143 and published each year in the Department’s benefit schedule).
Kentucky Workers Compensation Act: Key Sections at a Glance
The sections of the Kentucky workers compensation act that decide most cases, each with its citation:
| Coverage mandate | KRS 342.630 — any employer (other than one engaged solely in agriculture) with 1 or more employees in Kentucky, plus the state and every county, city, school district and other political subdivision with 1 or more employees; insurance or approved self-insurance is required under KRS 342.340 |
| Exemptions | KRS 342.650 — exempts certain domestic servants in private homes (employer with fewer than 2 domestic employees each regularly working 40 or more hours a week), short-term maintenance or repair work of 20 or fewer consecutive work days at the employer’s home, agricultural employees, and other listed classes |
| Report an injury | Notice to the employer “as soon as practicable” after the accident — KRS 342.185(1). For cumulative trauma, notice is due within 2 years of the date a physician tells the worker the condition is work-related — KRS 342.185 |
| File a claim | Application for adjustment of claim with the Department of Workers’ Claims within 2 years after the accident, or within 2 years after the death — KRS 342.185(1). For cumulative trauma, within 2 years of being told by a physician the condition is work-related, and no later than 5 years after the last work exposure — KRS 342.185. Occupational disease limits are set separately in KRS 342.316 |
| Waiting period | KRS 342.040(1) — 7 days; no income benefits for the first 7 days unless the disability lasts more than 2 weeks, in which case benefits are paid from day 1 |
| Wage-loss rate | KRS 342.730(1)(a) — 66-2/3% of the average weekly wage for temporary or permanent total disability, capped at 110% and floored at 20% of the state average weekly wage (the SAWW is set under KRS 342.740 and 342.143 and published each year in the Department’s benefit schedule) |
| Exclusive remedy | KRS 342.690(1) — workers’ comp is the exclusive remedy against the employer and co-employees. Main exception: under KRS 342.610(5), if an injury or death results from the employer’s deliberate intention to produce it, the worker or dependents may take benefits under the chapter or instead sue the employer at law. Separately, under KRS 342.690(2), if the employer failed to secure coverage, the worker may choose benefits or a civil damages action |
| Retaliation | KRS 342.197 — bars harassing, coercing, discharging or discriminating against an employee for filing and pursuing a lawful claim. Remedy under KRS 342.197(3): a civil action in Circuit Court for an injunction, actual damages, costs of suit and a reasonable attorney fee |
| Uninsured employer penalty | KRS 342.990 — a violation of KRS 342.630 (failure to carry coverage) carries a fine of 100 to 1000 per offense, and each employee and each day of violation counts as a separate offense |
| Who hears disputes | Contested claims are decided by Administrative Law Judges of the Department of Workers’ Claims (appointed under KRS 342.230(3); procedure under KRS 342.270 and 342.275). A party may appeal to the Workers’ Compensation Board within 30 days (KRS 342.285), then to the Kentucky Court of Appeals (KRS 342.290) |
The Exclusive-Remedy Bargain in the Kentucky Workers Compensation Act
KRS 342.690(1) — workers’ comp is the exclusive remedy against the employer and co-employees. Main exception: under KRS 342.610(5), if an injury or death results from the employer’s deliberate intention to produce it, the worker or dependents may take benefits under the chapter or instead sue the employer at law.
Separately, under KRS 342.690(2), if the employer failed to secure coverage, the worker may choose benefits or a civil damages action
Retaliation and Penalties Under the Kentucky Workers Compensation Act
KRS 342.197 — bars harassing, coercing, discharging or discriminating against an employee for filing and pursuing a lawful claim.
Remedy under KRS 342.197(3): a civil action in Circuit Court for an injunction, actual damages, costs of suit and a reasonable attorney fee KRS 342.990 — a violation of KRS 342.630 (failure to carry coverage) carries a fine of 100 to 1000 per offense,
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and each employee and each day of violation counts as a separate offense Contested claims are decided by Administrative Law Judges of the Department of Workers’ Claims (appointed under KRS 342.230(3); procedure under KRS 342.270 and 342.275).
A party may appeal to the Workers’ Compensation Board within 30 days (KRS 342.285), then to the Kentucky Court of Appeals (KRS 342.290)
Recent Amendments to the Kentucky Workers Compensation Act
No amendment to the Kentucky workers compensation act effective in 2024, 2025 or 2026 was identified in the official code at verification time. Benefit maximums still change every year under the existing sections.
How to Read the Kentucky Workers Compensation Act
Statute pages are written for lawyers, so read the Kentucky workers compensation act in this order: the definitions section (who is an employee), the coverage section, then the specific section for your question, using the citations above. The official code is the source; the summaries on legal-information sites are not.
If a section of the Kentucky workers compensation act seems to conflict with what an insurer told you, the section wins — and the state agency’s information line can confirm it for free.
Applying the act: the Kentucky claim guide turns these sections into steps and dates, and the Kentucky requirements guide covers the employer side.
Frequently Asked Questions
Where is the Kentucky workers compensation act in the code?
Kentucky Revised Statutes (KRS) Chapter 342. The sources below link to the official text.
How long do I have to report a work injury under the Kentucky act?
Notice to the employer “as soon as practicable” after the accident — KRS 342.185(1). For cumulative trauma, notice is due within 2 years of the date a physician tells the worker the condition is work-related — KRS 342.185. Report in writing as soon as possible either way.
Can I sue my employer instead of using the Kentucky workers compensation act?
Usually not — the exclusive-remedy section bars most lawsuits against a covered employer. Claims against third parties, and against an uninsured employer, are the common exceptions.
Official Kentucky Sources & Resources
- Kentucky Kentucky Department of Workers’ Claims (appeals go to the Workers’ Compensation Board): https://elc.ky.gov/Workers-Compensation/Pages/default.aspx
- Kentucky Workers’ Comp Statute: https://apps.legislature.ky.gov/law/statutes/chapter.aspx?id=38914
- U.S. Department of Labor — Workers’ Comp: dol.gov
- Insurance Information Institute: iii.org
This Kentucky workers compensation act guide was last verified against official Kentucky 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.