How to Apply for South Dakota Workers’ Compensation Benefits

Important: We updated this article in October 2024 after fact checking against current South Dakota state law. Workers’ compensation coverage protects employees and employers when a work-related injury or occupational illness occurs. South Dakota workers’ compensation claims for most employees go through the state’s Department of Labor and Regulation (DLR). You should also know that federal workers file claims directly with the government, not their employer.

In addition, South Dakota is one of two states that makes workers’ compensation insurance completely optional for employers. (The other one is Texas.) Below, we’ll explain the steps to file your claim, what medical and disability benefits may be available to you and more.

Which Employees are Automatically Exempt from South Dakota Workers’ Compensation Insurance Coverage?

State law says South Dakota employers who carry workers’ compensation insurance do not have to cover the following employees:

• Domestic servants employed less than 20 hours per calendar week or no more than six weeks in any 13-week period
• Farm and agricultural laborers
• Federal employees, including certain elected officials in state and local government roles
• Independent contractors that the Division of Labor & Management already certified as exempt
• Volunteers

Pro Tip: Workers’ comp policy rules can be confusing if you work as a contractor in South Dakota. Click here to learn more.  

How Can I Tell if My Employer Has Workers’ Compensation Insurance?

Any injured worker can use the Department of Labor and Regulation’s online coverage verification search tool. Simply click the blue “accept” button, then type your employer’s name in the search box on the next page you see.

How Do I File a South Dakota Workers’ Compensation Claim?

Regardless of whether your employer has workers’ comp coverage or not, we recommend you get medical treatment as soon as possible. Then, follow these steps to start the claims process:

1. Notify your supervisor no more than three business days after you seek medical care for your work-related injury.

Waiting any longer may cost you your right to claim any South Dakota workers’ comp benefits. Be sure to apply before the one-year statute of limitations passes, which is your legal deadline to file a claim.

2. Your employer must then submit a First Report of Injury form within 7 days to the DLR.

They should also notify the company’s workers’ compensation insurance carrier.

Pro Tip: If your employer refuses to file your claim, contact DLR directly at (605) 773-3681 and request a mediator.

3. The insurance company must review your workers’ comp claim within 20 days after they receive notice about your incident.

The insurer for any South Dakota business may also request a 30-day extension to investigate your workers’ comp case.

4. You can start receiving South Dakota workers’ comp for lost wages about 4-5 weeks after your employer submits the notification.

Important: Not every injured worker with an approved claim qualifies for these payments. South Dakota state law says you must miss at least one week of work before you can receive any disability benefits. That means your first 6 days off are always unpaid unless you have to stay off the job for longer, specifically because of your injury. However, if that happens to you, workers’ compensation insurance should at least cover your medical bills.

5. Request a mediation conference call from the DLR if your claim’s denied.

You can do this by calling (605) 773-3681. Don’t want to use mediation to resolve any South Dakota workers’ compensation claim disputes? You can also file a petition for a hearing before an Administrative Law Judge to appeal your denial. If you choose to go this route, be sure to request a hearing within 2 years of your denial date.

Pro Tip: The DLR recommends hiring an experienced workers’ comp lawyer to represent you during the appeals process.

For more information, download the Employee’s Guide to the Workers’ Compensation System.

What Medical and Disability Benefits Does South Dakota Workers’ Compensation Provide for Eligible Injured Workers?

Approved South Dakota workers’ compensation claims automatically cover all necessary medical care and other associated costs, including:

• Doctor’s visits and those bills
• Prescriptions required to treat your injury or illness
• Physical therapy, if needed
• Reimbursement for any travel, meals, and lodging while you receive required medical care

Temporary Total Disability

If you cannot work at all for a period of time after your accident, you may qualify for TTD benefits. These cover part of your lost wages while you take any necessary time off to recover. You can receive up to two-thirds of your average weekly wage (AWW) in TTD benefits until you return to work full time.

Temporary Partial Disability

TPD pays a weekly cash benefit when your illness or injury limits you to working part-time or light duty work. Your treating physician is the one who decides whether you can work or not, and how much. TPD payments equal a percentage of the difference between you pre- and post-injury weekly job wages.

Permanent Partial Disability

PPD benefits offer a set amount based on information from your treating physician about your specific injury or impairment. This usually results in a lump sum payment once you reach Maximum Medical Improvement (MMI).

Permanent Total Disability

PTD pays weekly cash benefits for life if you can never work in any job again due to your work-related illness or injury. You must attend an independent medical exam once every five years in order to keep these payments.

Death Benefits

South Dakota workers’ compensation insurance provides the following death benefits to eligible families of a deceased employee:

• Up to $10,000 for burial expenses, including funeral and transportation costs
• 2/3 of the deceased worker’s average weekly wage for an employee’s spouse and any eligible surviving children
• If a surviving spouse chooses to remarry, it triggers a lump-sum payment equal to 104 weeks of TTD benefits

Get more details on workers’ compensation benefits.

How to Get Help Fighting a South Dakota Workers’ Comp Claim Denial

You may want to hire an experienced attorney if a South Dakota business already denied your claim. Your lawyer can negotiate with the insurance company, help you gather medical evidence, and represent you at your appeal hearing.

South Dakota workers’ compensation law says your attorney can charge 25%-35% of your final settlement award in legal fees. The percent you’ll pay out of your settlement depends on whether your attorney secures your benefits out of court or after a trial verdict.

Want a free workers’ comp claim evaluation to better understand your options? Click the button below to start your free online benefits quiz now and see if you may qualify:

Get Your Free Benefits Evaluation