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Read. Follow. Verify.Kentucky HB 402 alters workers' compensation liability rules, drug-test presumption standards, and building permit proof requirements
Last action · January 23, 2026: to Economic Development & Workforce Investment (H)Sponsors: Al Gentry and 11 others
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What This Bill Proposed
Kentucky HB 402 amends workers' compensation laws to establish a legal presumption that illegal or excessive prescription drugs found in an employee's blood caused their injury or death, exempting employers from liability. It also requires builders to show proof of workers' compensation coverage or an official exemption before local building officials issue a building permit, and mandates that employers post notice of their insurance carrier and employee rights.
Changes how employers and contractors handle liability, drug intoxication presumptions, and permit approvals, directly affecting workers seeking compensation and builders applying for local permits.
Who It Would Have Affected
Groups the bill's text would have affected, as described in the record. Being affected is not a position for or against it.
Employers
Employers face changed liability standards regarding employee intoxication tests and are required to post specific workers' compensation insurance notices at their principal offices.
Employees
Employees face restrictions on receiving compensation if illegal or excessive prescription substances are detected in their blood after an incident.
Contractors
Contractors must provide proof of workers' compensation coverage or an official exemption certificate to local building officials before obtaining building permits.
Local building officials
Local building officials are required to demand and collect proof of workers' compensation coverage or written exemption certifications before issuing any building permits.
Key Facts
- Employers are liable for compensation for injury, occupational disease, or death without regard to fault.
- Contractors and their carriers are liable for compensation to employees of subcontractors unless the subcontractor has secured coverage.
- Land owners or lessees principally used for agriculture are exempt from contractor liability provisions for excavation, timber, or regular work.
- Liability for compensation does not apply if an employee willfully intended to injure or kill themselves or another.
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- If an employee voluntarily introduces an illegal or excessive prescription substance into their body that is detected in the blood and could cause mental or physical disturbance, it shall be the proximate cause of the injury, disease, or death, and compensation liability shall not apply.
- If injury or death results from an employer's deliberate intention, employees or dependents may take under the chapter or bring a lawsuit at law, waiving workers' compensation rights.
- Local building officials must require proof of workers' compensation coverage from builders prior to issuing any building permit pursuant to KRS 198B.060(10).
- Exempt contractors must certify their exemption in writing on a form prescribed by the commissioner in lieu of proof of coverage.
- Employers must post a notice at principal offices and locations where employees report, stating their workers' compensation insurance carrier, policy number, and medical care access info.
Frequently Asked Questions
What happens if an employee has illegal or excessive prescription drugs in their blood during an injury?
What must builders provide before getting a building permit?
Are agricultural landowners responsible for subcontractor workers' compensation liabilities?
What else do you want to know?
News Coverage
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Votes, people, money & the original sourceWhere This Stands
This bill did not become law - Died at adjournment · in House committee.
Procedural history
2 actions- Jan 23, 2026HouseCommitteeto Economic Development & Workforce Investment (H)
- Jan 15, 2026HouseIntroducedintroduced in House to Committee on Committees (H)
Version history
Only one version on file - nothing to compare yet. As later stages (committee substitute, engrossed, enrolled) are captured, the redline appears here.
View official text →Lobbying Activity
No state lobbying filings in our records match this bill. Federal lobbying reports (LDA) cover Congress, so they are not listed on state bills.
Full breakdown
Who this bill affects and the strongest case for and against it, written only from the bill’s own text.
Sponsors
Show 7 more sponsors
Discoveries
Patterns POLISCOPE noticed across the record. These are observations to investigate, not conclusions.
Stricter Intoxication Standard for Workers' Comp
The bill removes discretionary presumption language regarding illegal or excessive substances in employee blood tests, establishing a direct statutory disqualification from compensation liability.
Connected Entities
Sources
apps.legislature.ky.gov
Analysis Score
0–100- Significance20Lowered because this bill did not pass (its text scored 75)
- Controversy60Intensity of disagreement among stakeholders
- Entertainment10Compellingness for a non-policy-wonk reader
- Buzz35Current news / social attention level
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