The legislative and regulatory landscape is top of mind for workers compensation (WC) industry stakeholders. As part of our efforts to support a healthy system, NCCI actively monitors legislative and regulatory activity that could directly or indirectly impact workers compensation.
Many of the trends we highlighted in the
2025 Legislative and Regulatory Trends Report remain the focus of public policymakers in 2026, including mental injuries, workers compensation coverage presumptions, cancer-related initiatives, independent contractors/employee classification, as well as the regulatory frameworks related to marijuana and hallucinogens.
Additionally, NCCI closely reviews new legislative and regulatory initiatives to identify emerging issues that could have an impact on the workers compensation system and provide insights into potential trends. Several emerging issues that NCCI is monitoring include heat-related injuries, workplace violence, and systemic changes to workers compensation. An overview of those issues and related activities is provided below.
In recent years, public policymakers and workers compensation system stakeholders have focused on the potential harmful impacts of heat exposure on workers and have taken steps to educate employers and reduce injuries. One of the recognized drivers of the enhanced focus on heat exposure is the US Department of Labor's Bureau of Labor Statistics (BLS) data that indicates between 2011 and 2022 there were approximately 34,000 heat-related injuries that resulted in 479 fatalities. Additionally,
according to NCCI analyses, more claims are associated with heat-related injuries in every sector. These effects are largest for construction, natural resources, and upkeep/maintenance (which includes landscaping)—generally all outdoor sectors.
In response, state-level policymakers have considered legislative and regulatory proposals intended to protect workers from heat-related injuries. Some proposals mandate employer actions including providing water, rest, and shade when heat indices reach specific levels. Additionally, several states have considered requiring employers to have heat illness prevention plans, training, and emergency protocols. Recent legislative activity related to heat exposure includes:
- Arizona HB 2684 (2026) would require employers to develop a written heat-related illness mitigation program for employees exposed to temperatures above 80 degrees.
- New Hampshire HB 1451 (2026) creates the Workplace Extreme Temperatures Protection Standards Act that addresses protecting workers from extreme temperature-related injuries and fatalities in the workplace. It would also require employers to develop written plans and training programs to protect workers from heat and cold stress at extreme temperatures.
- California AB 1336 (2025) would have created a disputable presumption that a heat-related injury that develops after working outdoors for an employer in the agriculture industry that fails to comply with heat illness prevention standards, as defined, arose out of and came in the course of employment. That bill was vetoed by the governor.
At the federal level, the US Occupational and Health Administration (OSHA) has under consideration a proposed rule that would address heat exposure. The proposed
Heat Injury and Illness Prevention in Outdoor and Indoor Work Settings rule was released in 2024 and has been subject to a series of OSHA administrative hearings.
The proposed rule would require employers with more than 10 employees to formulate and implement a heat-related illness and injury prevention plan for each worksite. The noted prevention plans would need to include such elements as identifying heat hazards, monitoring employees for heat stress, providing water and rest breaks, and maintaining personal protective equipment for heat. Those plans would be triggered when the heat index reaches 80 degrees Fahrenheit. Currently, the administration has not provided an indication when, and if, that rule will be adopted.
OSHA has also highlighted existing employers' obligations to mitigate heat injuries under the General Duty Clause of the Occupational Safety and Health Act of 1970. Additionally, OSHA is continuing its National Emphasis Program for outdoor and indoor heat-related hazards that began in 2022.
Recent federal legislative activity related to heat exposure include:
- US HR 3702 (2025–2026) would require the Under Secretary of Commerce for the National Oceanic and Atmospheric Administration to conduct an economic impact study of the financial costs of extreme heat that, in part, takes into account workers compensation data for employee heat-related claims. This bill is pending in the House.
- US S 2298 (2025–2026), the Asuncion Valdivia Heat Illness, Injury, and Fatality Prevention Act of 2025, would require employers to provide workplaces free from hazardous heat conditions, comply with new standards, and implement programs to protect workers. The legislation also requires the DOL to promulgate a heat protection standard for employers to implement to regulate employee exposure to heat stress and prevent heat-related illness and injury. This bill is pending in the Senate.
Another emerging issue under consideration by policymakers is violence in the workplace. Recently, legislative proposals were developed to protect workers in all occupations from violence in the workplace, while other proposals are aimed at certain professions like healthcare. Many of the initiatives were related to preventing workplace violence through adopting programs/plans. Initiatives of note include:
- New York S 4140 (2025–2026) provides that employees injured as a consequence of a sexual offense are entitled to workers compensation benefits. This bill is pending in the Senate.
- Virginia HB 1620 (2025) directs the Department of Labor and Industry to convene a work group to evaluate the prevalence of workplace violence in the Commonwealth, including its effects on the workplace and measures needed to address workplace violence. This bill did not advance.
Recent federal legislative activity related to workplace violence include:
- US HR 2531 (2026) directs the Secretary of Labor to issue standards that require certain employers within the healthcare and social service industries to develop and implement a comprehensive workplace violence prevention plan.
A forthcoming three-part analysis by NCCI examining workplace assaults, workplace homicides, and industry- and demographic-specific patterns will provide additional context on the scope and characteristics of this issue.
The evolution of the workforce and its impact on the workers compensation system has been an impetus for state legislators and regulators to continually assess modifications to their state workers compensation framework. Recently, policymakers considered changes related to involving captives in the standard workers compensation system, alternative coverage approaches like opt-out mechanisms, and clarification of workers compensation coverage responsibilities. Those proposals have included:
- Nevada AB 318 (2025) would have permitted captive insurers to write direct workers compensation insurance. The bill would have authorized the commissioner of insurance to authorize or require certain captive insurers to join or contribute financially to an assigned risk pool or insurance insolvency guaranty fund. This bill did not advance.
- Florida HB 1069/SB 1426 (2025) would have provided an exception to the application of certain provisions of the Workers Compensation Law to allow qualified compensation alternative employers to adopt a written occupational injury benefit plan in lieu of standard workers compensation coverage. These bills did not advance.
- Indiana SB 309 (2025) would have allowed a member employer in good standing with Small Business Aid, Inc., to provide a substitute system of workers compensation and workers' occupational diseases compensation as established by Small Business Aid, Inc., without seeking the approval of the Workers Compensation Board. This bill passed the Senate but did not advance.
- Oklahoma SB 642 (2025) authorizes agreements between contractors and subcontractors, allowing contractors to provide workers compensation insurance coverage for subcontractors. This bill was enacted.
Central to NCCI's efforts to provide information on workers compensation legislative activity, we monitor several thousand bills each year to identify legislation that may impact the workers compensation system. NCCI identifies relevant workers compensation-related bills across all jurisdictions and the federal government. From this review, NCCI identifies approximately 1,000 bills to monitor during the legislative season for potential impact. NCCI legislative resources include:
- Legislative Activity Page—Bills that are workers compensation-specific are posted to our
Legislative Activity Page on ncci.com. Access these bills through an interactive map by clicking the specific jurisdiction. On each state-specific page, review bills that were identified for that state, view the bill status, and link to the state website for additional information. The status of bills is updated daily, as needed.
- Legislative Analysis—NCCI prepares cost analyses of many legislative proposals that could have a workers compensation system fiscal impact. NCCI cost analyses of enacted legislation are available on our
Legislative Activity Page for jurisdictions where NCCI provides ratemaking services. This content requires authentication.
- Reports and Interactive Dashboards—NCCI produces several reports on legislative and regulatory trends and issues. Additionally, we provide an interactive dashboard on enacted legislation that can be found on our
Legislative and Regulatory Trends page on
ncci.com.
NCCI is committed to helping maintain a healthy workers compensation system. We will continue to actively monitor and provide information on legislative and regulatory initiatives that could impact the workers compensation landscape. Additional information can be found on
ncci.com.
This article is provided solely as a reference tool to be used for informational purposes only. The information in this article shall not be construed or interpreted as providing legal or any other advice. Use of this article for any purpose other than as set forth herein is strictly prohibited.