The lifting injury
An employee hurts their back moving inventory in the warehouse.
Workers' comp can pay medical bills and a portion of lost wages.
Commercial Property & Casualty
Workers' compensation, classified correctly.
Workers' compensation pays medical bills and a portion of lost wages when an employee is hurt or becomes ill because of their job. Employer's liability, included in the same policy, protects the business when an injury leads to a lawsuit.
What workers' compensation covers.
Nearly every state requires employers to carry it once they have employees, with rules that vary by state. Texas is the notable exception, where coverage is optional for most private employers.
Premium is driven by class codes and payroll, then adjusted at audit. A misclassified role or an underestimated payroll can turn into a surprise bill months after the policy ends.
- Medical careTreatment for work-related injuries and illnesses, as set by state law.
- Lost wagesA portion of income while an employee is unable to work.
- RehabilitationPhysical therapy and return-to-work services.
- Death benefitsBenefits for dependents if a work injury is fatal.
- Employer's liabilityDefense and damages when an employee injury leads to a lawsuit against the business, subject to its own limits.
What it typically doesn’t cover
- Employees in states not listedEmployees working in a state that isn't covered on the policy can create a gap.
- Employment claimsDiscrimination, harassment and wrongful termination need EPLI. Employment Practices Liability Insurance (EPLI)
- Injuries to non-employeesCustomers and visitors are covered by general liability. General Liability & Products Liability Insurance
- Contractors who are really employeesIf state law treats a contractor as an employee, their injury may be charged to your policy at audit.
Coverage descriptions are general summaries. Actual coverage is governed by the terms, conditions and exclusions of the policy issued. Availability varies by state and carrier.
Real-world examples
What a claim can look like.
Claims rarely look dramatic at the start. They usually begin with an ordinary day, an email or a phone call.
The ladder fall
A technician falls from a ladder at a client's site.
Medical care, lost wages and rehabilitation can be covered.
The remote hire
An employee working from another state is injured on the job.
Coverage applies when that state is properly included on your policy.
Examples are illustrative. Whether a claim is covered depends on the facts and the terms, conditions and exclusions of your policy.
Often paired with
Employment Practices Liability Insurance (EPLI)Coverage for claims involving harassment, discrimination, wrongful termination and other employment-related practices.General Liability & Products Liability InsuranceThird-party bodily injury, property damage and products-related claims.Commercial Auto InsuranceCoverage for business vehicles and fleets, from one truck to many.Umbrella & Excess Liability InsuranceAdditional liability limits above underlying commercial liability policies.Questions
Common questions about workers' compensation, answered.
Is workers' compensation required?
In nearly every state, yes, once you have employees, though thresholds and rules for owners and officers vary. Texas is the main exception, where coverage is optional for most private employers. We confirm the rules for each state where your team works.
Why did I get a bill after my workers' comp audit?
Premiums start from estimated payroll. At audit, the carrier uses actual payroll and class codes. If payroll grew or roles were classified differently, additional premium is due. Accurate estimates up front prevent surprises.
Do I need coverage for remote employees in other states?
Usually you need coverage that applies in each state where employees work. We set up the policy so out-of-state employees are properly included.
How much does workers' compensation cost?
Workers' comp is priced per $100 of payroll for each class code, then adjusted by your experience modification factor, which reflects your claims history. State rates, safety programs and accurate classifications all affect the final premium. We compare options across our carrier relationships so you see real prices for your business, not an average.
Talk to an advisor
Let's get this fitted properly.
Tell us about your business. A principal will review your needs, shop the market and walk you through the options in plain English.