Workers' Compensation Insurance Requirements by State (2026)

Workers' comp covers medical costs and lost wages when employees are injured on the job. Almost every state requires it — but the rules, thresholds, costs, and benefits vary widely. All 50 states + DC covered below.

Your state:

Click your state for the full breakdown

Required — 1 Employee

37 states require coverage from the first hire

AKAZCACOCTDEDCHIIDILINIAKYLAMEMDMAMIMNMTNENVNHNJNYNDOHOKORPARISDUTVTWAWVWY

Required — Higher Threshold

13 states require coverage at 2–5+ employees

AL (5 employees)AR (3 employees)FL (4 employees (general), 1 employee (construction))GA (3 employees)KS (Gross annual payroll > $20,000)MS (5 employees)MO (5 employees (general), 1 employee (construction))NM (3 employees)NC (3 employees)SC (4 employees)TN (5 employees (general), 1 employee (construction/mining/coal))VA (2 employees)WI (3 employees)

Voluntary

1 state where coverage is optional

Monopolistic States — You MUST Buy From the State Fund

In 4states, private workers' comp insurance is not available. You must purchase from the state fund:

North Dakota — Workforce Safety & Insurance (WSI)
Ohio — Ohio Bureau of Workers' Compensation (BWC)
Washington — Washington Department of Labor & Industries (L&I)
Wyoming — Wyoming Workers' Safety and Compensation Division (WSC)

Workers' Comp Premium Calculator

Enter your state, industry, and payroll to get an instant premium estimate. No sign-up required.

Estimate Your Workers' Comp Premium

State

Industry

Annual Payroll

Number of Employees

This is an estimate only. Actual workers' comp premiums depend on your specific NCCI or state classification code, experience modification rate (EMR), carrier, deductibles, and state regulations. Contact a licensed insurance agent for an accurate quote.

Full Comparison — All 50 States + DC

Click column headers to sort. Type to filter by state name.

State▲	Required?⇅	Threshold⇅	Cost/$100⇅	Max Weekly⇅	Waiting⇅	Monopolistic?
Alabama	Required	5 employees	$1.63	$1,035	3 days	No
Alaska	Required	1 employee	$2.15	$1,384	3 days	No
Arizona	Required	1 employee	$1.20	$943	7 days	No
Arkansas	Required	3 employees	$0.72	$752	7 days	No
California	Required	1 employee	$1.56	$1,764	3 days	No
Colorado	Required	1 employee	$0.88	$1,181	3 days	No
Connecticut	Required	1 employee	$1.68	$1,502	3 days	No
Delaware	Required	1 employee	$1.38	$895	3 days	No
District of Columbia	Required	1 employee	$1.22	$1,838	3 days	No
Florida	Required	4 employees (general), 1 employee (construction)	$1.10	$1,197	7 days	No
Georgia	Required	3 employees	$1.22	$750	7 days	No
Hawaii	Required	1 employee	$2.08	$1,187	3 days	No
Idaho	Required	1 employee	$0.83	$822	5 days	No
Illinois	Required	1 employee	$1.31	$1,884	3 days	No
Indiana	Required	1 employee	$0.77	$975	7 days	No
Iowa	Required	1 employee	$1.09	$2,006	3 days	No
Kansas	Required	Gross annual payroll > $20,000	$1.06	$750	7 days	No
Kentucky	Required	1 employee	$0.96	$1,058	7 days	No
Louisiana	Required	1 employee	$1.16	$859	7 days	No
Maine	Required	1 employee	$1.15	$1,072	7 days	No
Maryland	Required	1 employee	$1.05	$1,153	3 days	No
Massachusetts	Required	1 employee	$0.80	$1,796	5 days	No
Michigan	Required	1 employee	$1.12	$1,077	7 days	No
Minnesota	Required	1 employee	$1.24	$1,290	3 days	No
Mississippi	Required	5 employees	$1.50	$612	5 days	No
Missouri	Required	5 employees (general), 1 employee (construction)	$1.28	$1,082	3 days	No
Montana	Required	1 employee	$1.28	$858	4 days (no comp for first 4 days unless disability exceeds 4 weeks)	No
Nebraska	Required	1 employee	$1.10	$971	7 days	No
Nevada	Required	1 employee	$1.06	$1,081	5 days	No
New Hampshire	Required	1 employee	$1.10	$2,309	3 days	No
New Jersey	Required	1 employee	$1.52	$1,099	7 days	No
New Mexico	Required	3 employees	$1.16	$876	7 days	No
New York	Required	1 employee	$1.68	$1,172	7 days	No
North Carolina	Required	3 employees	$1.08	$1,174	7 days	No
North Dakota	Required	1 employee	$0.67	$1,170	5 days	Yes
Ohio	Required	1 employee	$0.92	$1,114	7 days	Yes
Oklahoma	Required	1 employee	$1.42	$996	3 days	No
Oregon	Required	1 employee	$1.07	$1,405	3 days	No
Pennsylvania	Required	1 employee	$1.41	$1,205	7 days	No
Rhode Island	Required	1 employee	$1.42	$1,082	3 days	No
South Carolina	Required	4 employees	$1.30	$973	7 days	No
South Dakota	Required	1 employee	$1.13	$904	7 days	No
Tennessee	Required	5 employees (general), 1 employee (construction/mining/coal)	$1.18	$1,105	7 days	No
Texas	Voluntary	No threshold — voluntary for most private employers	$0.86	$1,092	7 days	No
Utah	Required	1 employee	$0.87	$1,058	3 days	No
Vermont	Required	1 employee	$1.62	$1,388	3 days	No
Virginia	Required	2 employees	$0.73	$1,309	7 days	No
Washington	Required	1 employee	$1.52	$2,228	3 days	Yes
West Virginia	Required	1 employee	$1.13	$932	3 days	No
Wisconsin	Required	3 employees	$1.06	$1,145	3 days	No
Wyoming	Required	1 employee	$0.85	$935	3 days + 8 hours	Yes

51 states shown. Click column headers to sort.

Key Concepts

What is workers' comp?

Insurance that pays for medical treatment, rehabilitation, and lost wages when an employee is injured or becomes ill because of their job. In exchange, employees generally cannot sue the employer for negligence.

Monopolistic vs. competitive states

Most states allow you to buy from private insurers (competitive market). Four states — Ohio, North Dakota, Washington, and Wyoming — require you to buy from the state fund (monopolistic).

How costs are calculated

Premium = Classification Rate × Experience Modifier (EMR) × (Payroll / $100). Office workers ($0.20/$100) cost far less than roofers ($15+/$100). Your EMR starts at 1.0 and goes up or down based on your claims history.

Employee threshold

Some states require coverage starting with 1 employee, others at 2, 3, 4, or 5. Construction businesses often have lower thresholds. Part-time and seasonal workers usually count.

Waiting period vs. retroactive period

The waiting period (3–7 days) is how long before wage replacement begins. If the disability exceeds the retroactive period (7–42 days depending on state), the insurer pays back to day one.

Claim filing deadlines

Employees must file claims within a state-set deadline (60 days to 4 years). Employers must report injuries to their insurer much sooner (1–21 days). Missing deadlines can result in denied claims.

Video Guides

Search on YouTube

Free Tools & Calculators

Workers' Comp Estimator

Estimate workers compensation insurance premiums by state, industry class code, payroll, and experience modification rate. 27 class codes, all 50 states. Free, no signup.

Last updated: 2026-03-27. This is general information, not legal or insurance advice. Verify requirements with your state's workers' compensation agency. Source: U.S. Department of Labor, individual state agency websites.