Louisiana wants to know if gig workers, 1099 contractors, and solo LLCs should be forced into workers' comp or occupational accident insurance.
Senate Resolution 132, sponsored by Senator Abraham and enrolled during the 2026 Regular Session, points to a workforce that no longer fits the old employer-employee mold. The resolution flags sole proprietors, independent contractors, owner-operators, gig workers, and single-member entities in transportation, construction, logistics, delivery, and home services as the workers currently sitting outside the system.
Louisiana workers' compensation law excludes independent contractors and single-member business entities from coverage, with certain exceptions. A single-member entity with no employees is not required to carry workers' comp for itself.
The Senate's concern, as set out in the resolution, is that the current setup may create gaps in coverage, increased uncompensated medical costs, and inconsistent treatment among similarly situated workers.
For insurers, the resolution puts two products on the same table. One is workers' compensation. The other is occupational accident insurance, which the resolution describes as already offered in various states and industries as an alternative or supplemental form of injury protection for certain independent contractors and nontraditional work arrangements.
The resolution also flags a regulatory question carriers will recognize – whether occupational accident products can lawfully be offered, structured, regulated, and utilized under existing Louisiana insurance and labor laws.
The Senate has asked the Louisiana State Law Institute to study and recommend legislation that would require all employers, including single-member business entities and 1099 employees, to provide workers' compensation or occupational accident insurance.
Input is to come from chambers of commerce, local and regional economic development organizations, labor representatives, and business and industry leaders. The study is to be done in consultation with local workforce development boards, the secretary of Louisiana Works or her designee, workers' compensation plaintiff and defense attorneys, and the commissioner of the Louisiana Department of Insurance or his designee.
The Law Institute must deliver a written report – including potential statutory, regulatory, or programmatic changes – to the House and Senate committees on labor and industrial relations by January 1, 2027.
The resolution does not change Louisiana law. It sets up a possible rewrite of how the state classifies and covers nontraditional workers, and carriers in the workers' comp and occupational accident lines will want a seat at the table.
