What is the penalty for failing to provide workers' compensation coverage in Hawaii?

The penalty for failing to provide workers' compensation coverage in Hawaii includes a combination of a fixed amount and a per employee daily fine. The correct answer reflects this structured penalty of $250 or $10 per employee, per day, which serves both as a deterrent and a way to ensure compliance with the law.

Hawaii law mandates that employers must provide adequate workers' compensation coverage for their employees. When they fail to do so, they face financial penalties that seek to encourage adherence to this important requirement. The fixed penalty component is designed to address the overall failure to comply, while the per-employee daily charge reflects the ongoing responsibility of the employer to maintain appropriate coverage as long as the violation persists. This approach underscores the importance of protecting workers and holding employers accountable for their legal obligations.

The penalties increase with the severity and nature of the violations, making it crucial for employers to understand and comply with workers' compensation requirements to avoid such fines.