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A3724 • 2026

Provides personal liability for owner, executive officer, or executive director of employer for failure to pay for workers' compensation coverage.

Provides personal liability for owner, executive officer, or executive director of employer for failure to pay for workers' compensation coverage.

Labor
Passed Legislature

This bill passed both chambers and reached final enrollment, even if later executive action is not shown here.

Sponsor
Collazos-Gill, Alixon
Last action
2026-05-07
Official status
Reported and Referred to Assembly Judiciary Committee
Effective date
Not listed

Plain English Breakdown

Using official source text because the generated explanation was unavailable or could not be confirmed against the official bill text.

Provides personal liability for owner, executive officer, or executive director of employer for failure to pay for workers' compensation coverage.

Provides personal liability for owner, executive officer, or executive director of employer for failure to pay for workers' compensation coverage.

What This Bill Does

  • Provides personal liability for owner, executive officer, or executive director of employer for failure to pay for workers' compensation coverage.
  • Topic: Judiciary Fiscal note: This bill has not been certified by OLS for a fiscal note.

Limits and Unknowns

  • This entry is temporarily using official source text because the generated explanation could not be confirmed against the official bill text during the last sync.

Bill History

  1. 2026-05-07 New Jersey Legislature

    Reported and Referred to Assembly Judiciary Committee

  2. 2026-01-13 New Jersey Legislature

    Introduced, Referred to Assembly Labor Committee

Official Summary Text

Provides personal liability for owner, executive officer, or executive director of employer for failure to pay for workers' compensation coverage.
Topic:
Judiciary
Fiscal note:
This bill has not been certified by OLS for a fiscal note.

Current Bill Text

Read the full stored bill text 
A3724 ALA Statement 5/7/26

ASSEMBLY LABOR COMMITTEE

STATEMENT TO

ASSEMBLY,
No. 3724

STATE
OF NEW JERSEY

DATED:
�MAY 7,
2026

����� The Assembly Labor Committee reports favorably
Assembly Bill No. 3724.

����� This bill provides that, in addition to the employer,
principal owners of an employer will be liable for any penalty imposed on an
employer for failure to pay for insurance for workers� compensation coverage.�
Under State law, the Director of the Division of Workers' Compensation is
required to impose a penalty of $1,000 against an employer that has failed to provide
insurance for workers� compensation claims.� The director is also required to impose
an additional assessment of 15 percent of the award or awards made in each
workers� compensation claim, not exceeding the sum of $5,000 on any one claim.�
Penalties are deposited into the �uninsured employer�s fund.�

����� The bill expands the reach of the �uninsured
employer�s fund,� through subrogation, to pursue payment for benefits of the
claims related to an employee�s injury from an uninsured employer to include
any principal owner of the employer, in addition to the employer.

����� This bill was prefiled for introduction in the
2026-2027 session pending technical review.� As reported, the bill includes the
changes required by technical review, which has been performed.