Finding the right workers’ compensation insurance is crucial for any business to protect its employees and operations. With many insurance providers to choose from, it can be challenging to determine which company is the best fit for your needs.
This comprehensive guide reviews the top 10 workers’ compensation insurance companies in the US, providing an in-depth overview of each along with their key features, benefits, financial strength, customer ratings, and more. Read on to learn which workers’ comp insurance provider may be right for your business.
What is Workers’ Compensation Insurance?
Before diving into the top providers, let’s first overview what workers’ compensation insurance is and why it’s mandatory for most employers.
Workers’ compensation insurance provides wage replacement and medical benefits to employees who are injured or become ill as a result of their job. It covers lost wages, medical expenses, rehabilitation costs, and more – regardless of who was at fault for the injury or illness.
Every state has its own rules and regulations regarding workers’ comp. Most require employers to carry this insurance on all employees, including part-time, seasonal, and temporary workers. Sole proprietors and partnerships may also need to be covered under workers’ comp policies.
Benefits of having proper workers’ comp insurance include:
- Covering lost income and medical expenses for injured workers
- Preventing costly lawsuits against the employer
- Improving employee morale and retention by providing care and support
- Meeting state legal requirements to operate a business
- Supporting a quick return to work after an injury through transitional duty programs
- Covering workplace illnesses that may develop over time such as repetitive stress injuries
Without workers’ comp insurance, businesses can face major fines upwards of $25,000 in some states. Owners may even face misdemeanor charges or jail time. Lawsuits from injured employees are also common when proper coverage isn’t in place. Be sure to work with a reputable insurance company that meets your state’s requirements.
Who Needs Workers’ Compensation Insurance?
Workers’ compensation insurance is mandatory for nearly every employer in the United States, with a few exceptions. Some states do not require coverage for very small businesses with one or just a few employees. Other exemptions may include:
- Certain agricultural operations
- Some family businesses and self-employed independent contractors
- Certain types of domestic work
- Volunteers for non-profits
While not always legally required, workers’ comp coverage is still recommended for excluded employers to protect against liability risks. It also ensures employees who are hurt while working have a source of medical care and income benefits during recovery. Check your state laws to understand all the requirements for carrying workers’ comp insurance based on your business and workforce.
Common employers who need workers’ compensation policies include:
- Most private companies across all industries
- Religious groups and non-profit organizations
- Federal contractors working on government projects
- Staffing agencies and professional employer organizations
- Sole proprietors and partnerships in many cases
- Farms and agricultural operators with full-time labor
Again, when in doubt about the legal requirements for your company, discuss specifics with a licensed insurance agent familiar with workers’ compensation. Carrying proper coverage protects both your business and your people.
Top 10 Workers’ Compensation Insurance Companies
Now that we’ve reviewed workers’ compensation basics, let’s dive into the top 10 providers across the United States.
1. The Hartford
Founded in 1810, Hartford is one of the oldest and largest insurance providers in the United States. As a Fortune 500 company, they provide a wide variety of property and casualty insurance products to both individuals and businesses of all sizes. Hartford offers workers’ compensation policies in all 50 states.
With over 200 years of experience, Hartford has developed specialized expertise across many industries to provide tailored coverage and risk management services. They have a focus on customer service, providing policyholders with 24/7 claim reporting, online account management, and safety resources. Hartford has an A+ rating from A.M. Best and wrote over $25 billion in premiums in 2021.
Features
- Policies for small to midsize businesses as well as larger corporations
- Flexible plan options and add-on coverages
- Claims management tools and return-to-work program incentives
- Online account access, billing, and claims filing
- 24/7 nurse triage line for injured workers
- Loss prevention and risk management services
- Well-trained claims staff provides compassionate support
Industry Specialties
The Hartford publishes helpful workers’ compensation resources for many industries, including:
- Construction
- Education
- Healthcare
- Manufacturing
- Non-profits
- Restaurants
This wealth of expertise allows them to tailor coverage and services based on each business’s unique risks and needs.
Financial Strength
- A+ (Superior) rating from A.M. Best
- $25.3 billion in annual revenue (2021)
Customer Satisfaction
- A+ rating from Better Business Bureau
- 4 out of 5 stars on Trustpilot based on over 1,300 reviews
Hartford offers customizable workers’ comp tailored for industries from healthcare and manufacturing to transportation and agriculture. Strong customer service and risk management make them a leading choice.
2. State Farm
State Farm is the largest property and casualty insurance company in the United States and a leading provider of workers’ compensation policies. Founded in 1922, State Farm now has over 19,000 local agents nationwide providing personalized service.
State Farm has earned a reputation for quality products, customer satisfaction, and financial strength. They have an A++ rating from A.M. Best and wrote over $61 billion in premiums in 2021. State Farm has extensive experience with industry-specific workers’ compensation needs for construction, manufacturing, healthcare, retail, and transportation.
Features
- Specialized industry programs for construction, manufacturing, wholesale, retail, and more
- Return-to-work program guidance and resources
- Medical care coordination with an emphasis on timely treatments
- Workplace safety materials, videos, and training
- Claims handled promptly in-house without a third party
- Mobile-friendly online claims reporting and policy access
- The dividend program returns profits to policyholders
- Over 19,000 local agents provide personalized service
Industry Specialties
State Farm publishes detailed reports on workers’ compensation risks across major industries, including:
- Construction
- Healthcare
- Manufacturing
- Retail
- Transportation
This allows them to educate on safety while tailoring insurance to industry-specific needs.
Financial Strength
- A++ (Superior) rating from A.M. Best
- $61 billion in annual revenue
Customer Satisfaction
- A+ rating from Better Business Bureau
- 4.1 out of 5 stars on Trustpilot based on over 5,000 reviews
State Farm has a national reputation for quality insurance and stellar customer service. Their workers’ compensation offers a streamlined, user-friendly experience supported by local agents.
3. Berkshire Hathaway GUARD Insurance
GUARD Insurance offers workers’ compensation as part of Warren Buffet’s Berkshire Hathaway group. This gives policyholders the financial backing and stability of one of the largest conglomerates in the world.
Founded in 1982, GUARD Insurance provides coverage across all industries and business sizes. They focus on prompt claims handling, return-to-work programs, and providing a full suite of risk management services. GUARD has an A++ rating from A.M. Best and $16.5 billion in policyholder surplus.
Features
- Prompt claims handling guided by specially trained claim adjusters
- Return-to-work coordination and reemployment services
- Online reporting tools and electronic pay options
- Safety training materials and risk management
- Coverage options for all industries and business sizes
- Managed Care Organization helps contain medical costs
- Financial stability with Berkshire Hathaway backing
- Loss control specialists help reduce workplace risks
Industry Specialties
GUARD offers specialized workers’ compensation policies and expertise for higher-risk fields like:
- Construction
- Emergency services
- Healthcare
- Manufacturing
- Staffing and leasing
- Wholesale and retail
Financial Strength
- A++ (Superior) rating from A.M. Best
- $16.5 billion in policyholder surplus
Customer Satisfaction
- A+ rating from Better Business Bureau
- 4.5 out of 5 stars based on limited online reviews
Policyholders benefit from Berkshire Hathaway’s excellent financial position and attentive claims service. GUARD Insurance is a top choice for stability.
4. AmTrust Financial
AmTrust Financial specializes in providing workers’ compensation insurance for small and mid-size businesses across a wide range of sectors. Founded in 1998, they use technology solutions to offer customized policies with strong customer service.
AmTrust has an A rating from A.M. Best and wrote $6.3 billion in premiums in 2020. They have expertise in construction, healthcare, retail, wholesale, hospitality, and real estate. AmTrust combines digital capabilities with human expertise to meet the needs of commercial clients.
Features
- Insurance for most classes and business types
- Easy online quotes, applications, payments, and claim filing
- Policyholder safety materials and risk management
- Medical cost containment guidance
- Light duty return-to-work coordination
- Mobile apps for convenient account access
- Premium discounts for drug-free workplaces and safety programs
- Dedicated claims staff provides personalized service
Industry Specialties
Key industries served include:
- Construction
- Healthcare
- Hospitality
- Real estate
- Retail
- Wholesale distribution
Financial Strength
- An (Excellent) rating from A.M. Best
- $6.3 billion in annual revenue
Customer Satisfaction
- A+ rating from Better Business Bureau
- 3.5 out of 5 stars on Trustpilot based on over 100 reviews
AmTrust Financial uses technology and customized service teams to provide specialized workers’ comp insurance for small and midsize businesses across a wide range of industries.
5. Travelers
Travelers is one of the most established insurance providers in the United States, getting its start in 1853. Today, Travelers offers a diversified range of property, casualty, and specialty insurance products, including workers’ compensation in all 50 states.
Travelers has an A++ rating from A.M. Best and wrote over $31 billion in net premiums in 2021. With local agents nationwide and specialized expertise across industries, Travelers provides the resources of a large national carrier while delivering tailored customer service.
Features
- Policies available in all states with specialized options for high-risk industries
- Claim management tools such as pre-fill first reports of injury
- Access to well-trained agents in local offices across the country
- Prompt investigation by in-house claim professionals
- Return-to-work programs and transitional duty services
- Online and mobile account access, payments, and certificates
- Toll-free helpline for policyholders
Industry Specialties
Travelers provide dedicated workers’ compensation expertise and programs for:
- Construction
- Healthcare
- Manufacturing
- Public entities
- Restaurants
- Technology
Financial Strength
- A++ (Superior) rating from A.M. Best
- $31 billion in annual revenue
Customer Satisfaction
- A+ rating from Better Business Bureau
- 3.7 out of 5 stars on Trustpilot based on over 1,500 reviews
Travelers Workers’ Compensation combines strong financial backing with expertise tailored to local markets and individual businesses.
6. Chubb
Chubb provides all forms of commercial insurance internationally. Founded in 1882, it is now a publicly traded company and one of the largest property and casualty insurers in the world. Chubb does business in 54 countries.
In the United States, Chubb offers workers’ compensation insurance with strong financial backing, flexible policies, and expertise across industries from construction to technology. Chubb Limited has an AA rating from Standard & Poor’s and $38 billion in gross premiums written.
Features
- Broad eligibility across industries from technology and healthcare to manufacturing
- Premium discounts for drug-free workplaces and favorable claims history
- Return-to-work coordination services and transitional duty policies
- Multinational capabilities for businesses with global operations
- Online claims tools tailored to employers and injured workers
- Loss control consultants help identify workplace hazards
- Highly rated financial strength as part of Chubb Limited
Industry Specialties
Key sectors include:
- Construction
- Healthcare
- Life sciences
- Manufacturing
- Real estate
- Retail
- Technology
Financial Strength
- AA rating from Standard & Poor’s
- $38.1 billion in annual revenue for Chubb Limited
Customer Satisfaction
- A+ rating from Better Business Bureau
- 3.6 out of 5 stars on Trustpilot based on limited reviews
The size, financial strength, and international presence of Chubb make it a leading workers’ compensation provider.
7. Employers
Founded in 1911, Employers provides specialized workers’ compensation insurance designed for America’s small businesses across a wide range of sectors.
With an A rating from A.M. Best and over $2 billion in direct premiums written annually, Employers combine strong financials with tailored coverage and excellent claims services. They have deep expertise in construction, manufacturing, healthcare, retail, and other small business fields.
Features
- Policies available for nearly all business types and risk classes
- Loss prevention and risk management resources
- Medical case management and return to work programs
- Online claims tools tailored to employers and injured employees
- Available across the United States with regional offices
- Dividends and savings returned to policyholders
- Knowledgeable team of in-house claims professionals
Industry Specialties
Key sectors include:
- Construction
- Healthcare
- Manufacturing
- Professional services
- Real estate
- Retail
- Wholesale
Financial Strength
- A (Excellent) rating from A.M. Best
- $2.5 billion in annual revenue
Customer Satisfaction
- A+ rating from Better Business Bureau
- 4 out of 5 stars on Trustpilot based on limited reviews
With a focus on small businesses, Employers offer personalized workers’ compensation tailored to company size and industry risk profile. Strong financials back their policies.
8. Liberty Mutual
Liberty Mutual is a leading property and casualty insurer serving businesses of all sizes. Founded in 1912, they provide insurance products ranging from workers’ compensation to commercial auto coverage.
Liberty Mutual has an A rating from A.M. Best, over $48 billion in annual revenue, and does business in all 50 states. They offer workers’ compensation tailored to specific industries while leveraging partnerships with independent agents nationwide.
Features
- Policies for all business sizes across nearly any occupation
- Managed Care Organization monitors treatments and controls costs
- Claims advocacy provides support throughout the process
- Return-to-work program guidance and resources
- Discounted premiums are possible for favorable claims history
- Online payments, certificates of insurance, and risk management materials
- Mobile-friendly online claims reporting
Industry Specialties
Liberty Mutual provides tailored coverage and loss control services for:
- Construction
- Healthcare
- Manufacturing
- Retail
- Transportation
- Wholesale and distribution
Financial Strength
- A (Excellent) rating from A.M. Best
- $48 billion in annual revenue
Customer Satisfaction
- A rating from Better Business Bureau
- 2.5 out of 5 stars on Trustpilot based on over 1,100 reviews
Liberty Mutual has the size and financial stability to handle major workers’ compensation risks while also serving small and midsize businesses through independent agents.
9. Nationwide
Nationwide Insurance is a national provider of insurance covering property, auto, business, and farms. Founded in 1926, Nationwide employs over 34,000 workers. They write over $26 billion annually in property and casualty insurance.
Nationwide is rated A+ by A.M. Best and has expertise in commercial sectors ranging from agriculture to real estate. Their national agent network helps businesses find local insurance solutions for their workers’ compensation needs.
Features
- Policies available for all industries and risk classes
- Online tools for quoting, applying, payments, claims, and certificate requests
- Medical management services for injured workers
- Safety and risk management resources
- Claims are handled promptly by in-house staff
- Regional presence through a network of Nationwide agents
- Flexible coverage and billing options
- Competitive pricing due to strength in numbers
Industry Specialties
Nationwide has expertise in these common sectors:
- Agriculture
- Construction
- Hospitality
- Manufacturing
- Real estate
Financial Strength
- A+ (Superior) rating from A.M. Best
- $26 billion in annual revenue
Customer Satisfaction
- A+ rating from Better Business Bureau
- 3.7 out of 5 stars on Trustpilot based on over 300 reviews
Nationwide leverages strong financials and modern tech capabilities to provide fast, flexible workers’ compensation insurance. Their national agent network provides local support.
10. Erie
Founded in 1925, Erie Insurance offers commercial and personal policies across 12 states. Though regional in focus, they combine financial strength with excellent local service to business customers.
Erie Insurance has an A+ rating from A.M. Best, $14 billion in assets, and expertise in industries from manufacturing to construction. Customers benefit from highly-rated policies and customized workers’ compensation coverage from in-state agents.
Features
- Available for nearly any industry across 12 states
- Claims handled in-house for efficient service
- Erie Sense digital tools for risk management
- Medical treatment review and return to work guidance
- Local agents provide personalized service
- Premium discounts may apply for drug-free workplaces
- Short wait times to speak with claims staff
Industry Specialties
Erie Insurance has deep knowledge of regional industries, including:
- Construction
- Healthcare
- Manufacturing
- Retail
- Transportation
Financial Strength
- A+ (Superior) rating from A.M. Best
- $14 billion in assets
Customer Satisfaction
- A+ rating from Better Business Bureau
- 3.8 out of 5 stars on Trustpilot based on limited reviews
Erie Insurance is a regional company that provides local expertise and quality workers’ comp tailored to each insured’s needs and industry risks.
Read Also: Best Home Warranty Companies of August 2023
How Insurance Companies Determine Workers’ Comp Rates
An important factor when selecting workers’ compensation insurance is understanding how providers calculate your premiums. While rates vary by state and insurer, most utilize a standard methodology based on these criteria:
Class Codes
The National Council on Compensation Insurance (NCCI) assigns classification codes to various job types based on injury risk. Higher-risk positions have greater rates. Common classifications include:
- Office workers – low risk
- Carpenters – high risk
- Nurses – moderate risk
- Truck drivers – high risk
Your insurer will assign appropriate class codes to your employees.
Payroll
Workers’ comp premiums are charged per $100 of gross payroll. Companies with higher payrolls pay more than lower-wage businesses. However, high-risk jobs incur more costs regardless of salary.
Claims History
Your past claim’s frequency and severity directly impact rates. Too many claims or large losses mean higher future premiums. Maintaining a low claims history keeps your costs down.
Experience Modification Factor
This compares your actual claims to expected losses for your industry and class codes. A lower ratio receives experiences credit-reducing rates. Higher than-average claims increase your mod factor and rates.
State Requirements
Regulations, benefit levels, and required insurer contributions differ by state, affecting base rates. High-cost states mean pricier workers’ comp.
Discuss these factors with insurance agents to understand how your premiums are derived and minimize costs where possible through safety programs and return-to-work strategies.
Evaluating Workers’ Compensation Insurance Companies
With an overview of how the top providers compare, how should you go about evaluating and choosing workers’ compensation insurance for your business? Here are key criteria to consider in your decision process:
Coverage Options
Look for a carrier that offers versatility in designing your policy with options like:
- Medical and indemnity benefit levels
- Deductibles to reduce premiums
- Ability to exclude executive officers
- Occupational disease coverage
- Sole proprietor and partner coverage
Ensure coverage meets your state laws.
Pricing
While cost shouldn’t be the only factor, premiums are still crucial. Compare quotes across insurers and understand exactly how rates are calculated. Look for potential discounts.
Industry Expertise
Find a provider with experience and resources tailored to your specific industry’s risks. This indicates they understand your business’s needs.
Company Financial Strength
Verify the insurer’s financial standing through ratings from A.M. Best and Standard and Poor’s.
Selecting the right workers’ compensation insurance company is a critical decision for any business. The top 10 affordable workers’ compensation insurance companies of 2023 mentioned above provide a starting point for your research. Remember to evaluate your business’s unique requirements and risk factors to find the perfect fit. With the right insurance partner, you can ensure the well-being of your employees and the financial stability of your business.