Form (Iowa): the workers' comp owner exemption
Nonelection of Workers’ Compensation or Employers’ Liability Coverage. Who can file it, where to get it, how to file, the fee, when it takes effect, and how often it renews — from Iowa Department of Inspections, Appeals, and Licensing, Workers’ Compensation Division.
Form filing snapshot
FormForm — Nonelection of Workers’ Compensation or Employers’ Liability Coverage
Issuing bodyIowa Department of Inspections, Appeals, and Licensing, Workers’ Compensation Division
Filing methodIf no policy exists, use DIAL’s online nonelection filing with two disinterested witnesses; if a policy exists, attach the nonelection to the policy rather than file it with WCD.
FeeNo separate filing fee verified
Common mistakeAvailable to proprietors, LLCs, LLPs, and partnerships. Corporate officers use the separate rejection process. Nonelection cannot be required as a condition of employment.
When it takes effectWhen the written nonelection is attached to the policy, or when the no-policy online filing is completed with WCD; corporate officers use the separate rejection process.
RenewalNo periodic renewal. The nonelection/rejection continues until terminated; a nonelection termination does not affect an injury or disease occurring within one week after the termination notice is filed.
Watch out forNonelection applies to proprietors/LLC/LLP/partners; corporate officers use the separate rejection process. A termination has a one-week injury/disease timing rule.
Which Iowa owners can use the Form
Sole proprietorA proprietor is not considered an employee for Iowa workers' compensation purposes and may make a voluntary nonelection of workers' compensation or employers' liability coverage. If personal coverage is desired, a policy can specifically include the proprietor.
LLC memberAn LLC member may make a voluntary nonelection of workers' compensation or employers' liability coverage. DIAL emphasizes that an employer cannot force the nonelection as a condition of employment.
PartnerA partner or limited liability partner may make a nonelection of coverage. The filing is personal to the eligible owner category and does not remove the employer's obligation to cover ordinary employees.
Corporate officerOnly the president, vice president, secretary, or treasurer of a corporation may use the corporate-officer rejection route, with no more than four rejecting officers. Family farm corporations are excluded from this rejection rule.
Employee threshold: Iowa workers' compensation law covers most employment relationships, so most employers with employees must carry workers' compensation insurance or qualify to self-insure. The current DIAL compliance materials do not state a general multi-employee safe harbor. In construction: The cited DIAL sources do not publish a separate construction employee-count threshold. The same owner nonelection/rejection rules should be kept separate from the company's obligation to insure any workers who remain employees under Iowa law.
Read the full context in the Iowa workers' comp exemption guide, or run the eligibility screener to check your entity type first.
Form (Iowa): frequently asked questions
- Where do I get the Form form in Iowa?
- The Form (Nonelection of Workers’ Compensation or Employers’ Liability Coverage) is issued by Iowa Department of Inspections, Appeals, and Licensing, Workers’ Compensation Division. If no policy exists, use DIAL’s online nonelection filing with two disinterested witnesses; if a policy exists, attach the nonelection to the policy rather than file it with WCD. Use the official link on this page rather than a third-party copy, which may be out of date.
- Is there a fee to file the Form in Iowa?
- No separate filing fee has been verified for this form.
- How often does the Form exemption renew in Iowa?
- No periodic renewal. The nonelection/rejection continues until terminated; a nonelection termination does not affect an injury or disease occurring within one week after the termination notice is filed. Watch out: Nonelection applies to proprietors/LLC/LLP/partners; corporate officers use the separate rejection process. A termination has a one-week injury/disease timing rule.
Where this comes from
The Form entry is anchored to Iowa Department of Inspections, Appeals, and Licensing, Workers’ Compensation Division — the state agency that issues and processes the form — not a generalized summary. Source-checked 2026-09-02.