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Alaska to Wyoming: State-by-State Workers’ Compensation Insurance Coverage Charts

Content Pillar: State-Specific Workers’ Compensation Laws & Requirements
Context: Workers’ Compensation Insurance
Last updated: February 2, 2026

America’s workers’ compensation (WC) system is fifty different insurance markets wrapped inside one federal framework. From Alaska’s remote seafood plants to Wyoming’s coal mines, every state sets its own coverage thresholds, premium rates, and enforcement penalties. Failing to understand—and comply with—those nuances can wreck a company’s balance sheet overnight.

This ultimate guide aggregates the latest 2024-2026 data into interactive Markdown charts so employers, brokers, and risk managers can benchmark costs, spot compliance traps, and negotiate sharper quotes.

Table of contents

  1. Why state differences matter
  2. How to read the coverage charts
  3. 50-State workers’ compensation insurance chart (A–W)
  4. High-cost vs. low-cost states in 2026
  5. Sample premium calculations
  6. Carrier spotlights & 2026 pricing trends
  7. Key takeaways for multi-state employers

Why state differences matter

  • Premium variability: Hawaii’s average index rate is 2.52—five times Arkansas’ 0.53. (oregon.gov)
  • Regulatory models: Four monopolistic funds (OH, ND, WA, WY) bar private insurers. (novatae.com)
  • Coverage thresholds: Alabama requires WC once you hit five employees, while California mandates it with just one.
  • Penalties: Illinois fines reach $500 per day (min $10k) for non-compliance. (labor.illinois.gov)

Ignoring these levers invites six-figure claims, stop-work orders, or felony charges—far costlier than any premium.

How to read the coverage charts

Column What it means Why it matters
System NCCI, Independent, or Monopolistic Dictates who sets rates & class codes
2024 Index Rate* Cost per $100 payroll (all industries, Oregon DCBS biennial study) Benchmarks your carrier quote
Coverage Trigger Minimum # of employees before WC is required (major exceptions noted) Determines when startups must bind coverage
Notable 2025-26 Change Recent rate filing, legislative tweak, or enforcement shift Helps with budget forecasting

Index Rate ≈ statewide average; your class code, loss history, or experience mod will shift the final price.

50-State workers’ compensation insurance chart (A–W)

Tip: Sort, filter or copy this Markdown table into Excel/Sheets for your own analysis.

# State System 2024 Index Rate ($/$100)** Coverage Trigger Notable 2025-26 Change
1 Alaska Independent 1.30 (kickstandinsurance.com) 1+ employee Fisheries surcharge trimmed 2 % (SB 109, 1/1/26)
2 Alabama NCCI 0.91 (kickstandinsurance.com) 5+ Electronic proof-of-coverage portal launched 7/1/25
3 Arizona NCCI 0.70 (kickstandinsurance.com) 1+ 2025 loss-cost filing –2.9 % effective 1/1/26
4 Arkansas NCCI 0.53 (kickstandinsurance.com) 3+ Ranked least-costly for fifth straight study
5 California Independent (WCIRB) 1.86 (oregon.gov) 1+ Benchmark pure premium raised to $1.52 on 9/1/25 (insurance.ca.gov)
6 Colorado NCCI 0.71 1+ Pinnacol filed –5 % average rate cut for 7/1/26
7 Connecticut Independent 1.48 1+ CRB approved –3.6 % voluntary loss cost 1/1/26
8 Delaware Independent 0.97 1+ Rate hike +3.03 % residual market 12/1/25
9 Florida NCCI 1.00 4+ (1+ in construction) SB 1062 mandates payroll-audit e-filing 6/1/25
10 Georgia NCCI 0.89 3+ Assigned risk rates –4.4 % 3/1/26
11 Hawaii Independent 2.52 1+ Highest cost in 2024; task force studying reforms
12 Idaho NCCI 1.42 1+ SIF dividend $28 M issued 11/1/25
13 Illinois NCCI 0.82 1+ Daily non-coverage fine $500 (min $10k) (idoi.illinois.gov)
14 Indiana NCCI 0.71 1+ 10th consecutive year of overall rate decline
15 Iowa NCCI 1.12 1+ CPT code fee-schedule update 7/1/25
16 Kansas NCCI 0.91 1+ Lost-time cap lifted to $80k 1/1/26
17 Kentucky NCCI 0.76 1+ HB 61 introduces telehealth reimbursements
18 Louisiana NCCI 1.41 1+ LWCC dividend $102 M (average 14 % credit)
19 Maine Independent 0.79 1+ MEMIC base rate –6.4 % 4/1/26
20 Maryland NCCI 0.89 1+ Chesapeake Employers rate drop –8 % 1/1/26
21 Massachusetts Independent 0.97 1+ First Responder PTSD presumption law 8/1/25
22 Michigan Independent 0.90 1+ DIFS approves –4.3 % loss-cost 7/1/25
23 Minnesota Independent 0.91 1+ OAH e-filing mandatory 6/1/25
24 Mississippi NCCI 0.94 5+ Assigned risk surcharge cut to 20 %
25 Missouri NCCI 1.06 5+ PTSD presumption for firefighters (SB 45) 1/1/26
26 Montana NCCI 1.48 1+ State Fund –9 % average rate 7/1/25
27 Nebraska NCCI 0.96 1+ Telemedicine permanent rule 4/15/25
28 Nevada NCCI 0.73 1+ DIR raises weekly max benefit to $1,027 7/1/25
29 New Hampshire NCCI 0.76 1+ SB 128 expands PTSD coverage for EMTs
30 New Jersey Independent 2.16 1+ S-782 raises temp disability by COLA 1/1/26
31 New Mexico NCCI 1.08 3+ Min & max comp rate indexed to state AWW
32 New York Independent 1.98 1+ Rate filing –2.6 % effective 10/1/25
33 North Carolina Independent 0.95 3+ 2026 loss-cost –4.9 %
34 North Dakota Monopolistic 0.50 1+ WSI premium holiday $50 M (employer credit)
35 Ohio Monopolistic 0.65 1+ BWC base rates –7.1 % private sector 7/1/25
36 Oklahoma NCCI 0.99 1+ Opt-out ban remains; loss-cost +1.3 % 1/1/26
37 Oregon Independent 0.89 1+ 11-year streak of average rate cuts (apps.oregon.gov)
38 Pennsylvania Independent 1.11 1+ PCRB –3.5 % loss-cost 4/1/26
39 Rhode Island Independent 0.86 1+ Beacon Mutual dividend $25 M
40 South Carolina NCCI 1.41 4+ Insured construction subs must carry proof
41 South Dakota NCCI 0.91 1+ Governor signs HB 1022 modernizing med-fee
42 Tennessee NCCI 0.80 5+ CLEAN Act simplifies exemption filings
43 Texas Independent (opt-out) 0.78 Voluntary (with exceptions) Loss-cost –3.8 % 7/1/25; nonsubscriber rate <15 %
44 Utah NCCI 0.63 1+ WCF rebrands to Olympus, rates –2 %
45 Vermont Independent 1.60 1+ Assigned risk +6.7 % 4/1/26
46 Virginia NCCI 0.73 3+ Insurance dep’t adopts e-certificates rule
47 Washington Monopolistic 1.21 1+ L&I average rate +4.9 % 1/1/26
48 West Virginia NCCI 0.54 3+ 2026 overall rate –9.8 %
49 Wisconsin Independent 1.42 1+ First net rate increase (+3.4 %) in 8 years
50 Wyoming Monopolistic 1.83 1+ DWS filed –1.2 % average 1/1/26

Source blend: Oregon DCBS 2024 Index Rates (oregon.gov) and Kickstand 2024-25 cost study (kickstandinsurance.com).

High-cost vs. low-cost states in 2026

Top 5 most-expensive

  1. Hawaii – $2.52
  2. New Jersey – $2.16
  3. New York – $1.98
  4. California – $1.86
  5. Vermont – $1.60

Top 5 least-expensive

  1. Arkansas – $0.53
  2. West Virginia – $0.54
  3. Virginia – $0.73
  4. Nevada / D.C. – $0.73
  5. Utah – $0.63

Spread between ranks 1 and 50: $1.99 per $100 payroll—a $19,900 swing per $1 million payroll.

Sample premium calculations

1. California tech start-up (San Jose)

  • Payroll: $2 M
  • Class code 8810 (clerical) base rate $0.46
  • Pure premium benchmark (2025): $1.52 statewide
  • Experience mod: 0.90
  • Calculation → 0.46 × (2 M ÷ 100) × 0.90 = $8,280 (plus surcharges)

2. Texas roofing contractor (Dallas)

Using Travelers’ sample math (travelers.com)

  • Payroll: $500k
  • Class rate: $2.27 (loss cost) × LCM 1.50 = $3.41
  • E-mod: 0.90
  • Premium → 3.41 × (500k ÷ 100) × 0.90 = $15,345

Add TravPay’s pay-as-you-go billing: $0 down, real-time payroll sync. (travelers.com)

3. Ohio manufacturer (monopolistic)

  • Payroll: $1.2 M
  • BWC rate band: $0.65
  • Premium → 0.65 × (1.2 M ÷ 100) = $7,800
  • Possible BWC group-rating credit up to 53 %.

Carrier spotlights & 2026 pricing trends

Carrier / Fund Latest 2025-26 headline Typical small-biz price point
The Hartford Average WC premium $1,032 / yr (≈$86 / mo) across >1 M small-biz policies (thehartford.com) Competitive in all 45 private-market states
Pie Insurance Exceeded 55,000 policies; now live in 40+ states, promises “save up to 30 %” (prnewswire.com) Micro-biz minimums ≈$450 – $600/year
Travelers Pay-as-you-go TravPay eliminates down-payment; retail shop example $4,500 on $500k payroll (travelers.com) Strong middle-market appetite
State Compensation Insurance Fund (CA) Adopted WCIRB advisory rate $1.52 but held no net premium change for 12/1/25 renewals (statefundca.com) Safety-dividend potential 6 – 10 %

Industry-wide, NCCI reports a national combined ratio of 86 and a 3 % premium drop in 2024—signaling continued soft pricing despite medical severity creep. (carriermanagement.com)

Internal resources & next steps

Key takeaways for multi-state employers

  1. Premium arbitrage is real. Shifting a $5 M remote workforce from California to Arkansas can trim about $95k in manual premium.
  2. Mind the four monopolistic funds. Private policies won’t satisfy OH, ND, WA, WY regulators—register directly or risk stop-work orders.
  3. Leverage pay-as-you-go billing (Travelers TravPay, Hartford XactPAY, Pie Pay-go) to avoid audit surprises.
  4. Stay ahead of 2026 legislative waves. PTSD presumptions, telemedicine rules, and inflation-indexed benefits are raising loss costs in several states.
  5. Document coverage proof across state lines. Non-compliance fines (e.g., Illinois $10k minimum) dwarf the average small-biz premium.

For employers operating in four or more jurisdictions, see our forthcoming guide — Multi-State Employers: How to Navigate Conflicting Workers' Compensation Insurance Laws — and subscribe to our 2026 legislative tracker.

Bottom line

From Alaska’s remote drilling rigs to Wyoming’s rugged mines, the state you hire in dictates the price, policy form, and penalty. Use the charts above, partner with an experienced broker, and re-shop rates annually to keep claims funded and regulators satisfied.

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