What does Arizona workers' comp insurance cover?

Arizona workers' comp insurance covers four primary benefit categories: Medical expenses for work-related injuries and occupational illnesses Wage replacement benefits during recovery periods Permanent disability compensation for lasting impairments Survivor benefits for families of workers killed on the job

Best Workers' Comp Insurance in Arizona (2026)

Written by Angelique Palenzuela-Cruz

Updated: August 26, 2026

Advertising & Editorial Disclosure

Best Workers' Comp Insurance Companies in Arizona

ERGO NEXT is the best workers' compensation insurance provider in Arizona. ERGO NEXT and Nationwide both come in at $65 per month, the lowest rate in our analysis, yet land on opposite ends of the customer service rankings. Both are good matches if cost is your only priority. But if a claim ever arises, that makes a difference.

The rate difference between the cheapest and most expensive provider is $57 per month, from $65 with ERGO NEXT and Nationwide to $122 at Chubb. For a small Arizona employer, that's $684 per year for base coverage. Whether that premium difference buys better coverage depends on the provider's available endorsements.


ERGO NEXT	4.49	$65	1	6
Nationwide	4.44	$65	6	5
Coverdash	4.17	$88	5	1
Thimble	4.14	$76	8	9
The Hartford	4.13	$94	3	3
Simply Business	4.09	$93	2	2
biBERK	3.96	$89	8	8
Progressive Commercial	3.69	$100	8	7
Chubb	3.69	$122	3	4
Hiscox	3.62	$107	6	10

MoneyGeek analyzed workers' comp insurance rates and provider performance across Arizona using small business profiles with one to four employees spanning 25 industry categories with 408 subindustries. Companies earn up to five points in each category in our scoring system. We then use a weighted average of these category scores to calculate a MoneyGeek score out of five.

Affordability (55%): Based on average payroll for the most common employee code per industry and state classification, priced per employee for a one to four employee business.
Customer Experience (35%): Evaluates buying (20%), which covers quote access, pricing accuracy and sales support; policy management (30%), which covers payroll reporting, audits, billing and loss control; and claims (50%), which covers FNOL speed, adjuster support, medical access, wage replacement and dispute handling.
Coverage Options (10%): Assesses coverage completeness (35%), including employers' liability and wage and medical reimbursement; policy flexibility and endorsements (25%); eligibility, state and industry breadth (20%); and policy terms, limits and exclusions (20%).

ERGO NEXT

Best Workers' Comp Insurance in Arizona

MoneyGeek Rating

4.5/ 5

4.8/5Affordability

4.5/5Customer Experience

3.5/5Coverage

Average Monthly Cost
$65
Claims Processing Score
4.4/5
Policy Management Score
4/5
Buying Process Score
4.1/5

pros
- Tied for lowest monthly rate in Arizona at $65 a month
- Highest customer experience score in the state
- Top-ranked buying process in the state
cons
- Coverage breadth ranks sixth among Arizona providers
- No local agent network for complex claims support
ERGO NEXT is the best in Arizona for both affordability and customer experience. The provider shares the state's lowest monthly rate with Nationwide at $65 per employee, but pulls ahead on claims handling and buying process scores. For Arizona small businesses that want streamlined digital enrollment paired with responsive claims support, ERGO NEXT covers both.

ERGO NEXT's lead is built on its customer experience advantage.
Arizona employers whose top priority is coverage breadth should compare Coverdash, which holds the state's top coverage score. ERGO NEXT ranks sixth on coverage in Arizona. Businesses with complex endorsement requirements or specialized industry exposures will find Coverdash or The Hartford a better coverage match.

Nationwide

Best Arizona Workers' Comp Insurance: Runner-Up

MoneyGeek Rating

4.4/ 5

4.8/5Affordability

4.1/5Customer Experience

3.8/5Coverage

Average Monthly Cost
$65
Claims Processing Score
3.9/5
Policy Management Score
4/5
Buying Process Score
3.8/5

pros
- Tied for lowest monthly rate in Arizona at $65 a month
- 24/7 nurse triage for injured employees
- Dedicated return-to-work coordination program
cons
- Agent-dependent quoting
- No online policy purchase
Nationwide is the best workers' comp insurance in Arizona for businesses that prioritize claims support and financial stability. It averages $65 per month for small businesses and has held an AM Best A rating for more than 20 years. Its 24/7 nurse triage connects injured employees to care quickly, and dedicated adjusters maintain regular contact through the claims process.
Nationwide's workers' comp also includes a return-to-work coordination program and a risk management resource library to help Arizona businesses reduce claims exposure. It performs best for agricultural operations and mid-sized employers. The main drawback is agent-dependent quoting, which means slower turnaround than digital-first carriers.
Arizona businesses that lean heavily on digital enrollment and fast online onboarding should compare ERGO NEXT first. Nationwide's buying process score ranks eighth in Arizona, so businesses that value a streamlined digital purchase experience may find ERGO NEXT a more efficient starting point.

Cheapest Workers' Comp Insurance in Arizona

ERGO NEXT has the most affordable workers' comp premium in 21 of the 25 industries in my analysis. The Hartford takes the lead in four industries with less liability exposure, but claims tend to be more complex. These four are consulting, financial services, health care and tech/IT. ERGO NEXT's pricing advantage is most seen in physical-labor industries. Construction companies spend around $153 per month for workers' comp, while and transportation and logistics businesses pay $196 on average.


Agriculture & Natural Resources	ERGO NEXT	$106	$1,272
Arts, Media & Entertainment	ERGO NEXT	$63	$756
Beauty, Body & Wellness Services	ERGO NEXT	$10	$120
Childcare Services	ERGO NEXT	$26	$312
Cleaning Services	ERGO NEXT	$74	$888
Construction & Contracting	ERGO NEXT	$153	$1,836
Consulting Services	The Hartford	$14	$168
Education	ERGO NEXT	$45	$540
Financial Services	The Hartford	$10	$120
Fitness Services	ERGO NEXT	$45	$540
Food & Beverage	ERGO NEXT	$27	$324
Healthcare & Medical	The Hartford	$35	$420
Hospitality, Travel & Tourism	ERGO NEXT	$30	$360
Manufacturing	ERGO NEXT	$98	$1,176
Marketing & Communications	ERGO NEXT	$11	$132
Nonprofit & Associations	ERGO NEXT	$42	$504
Other Professional Services	ERGO NEXT	$17	$204
Pet Care Services	ERGO NEXT	$41	$492
Real Estate & Property Services	The Hartford	$15	$180
Recreation & Sports	ERGO NEXT	$73	$876
Repair & Maintenance	ERGO NEXT	$48	$576
Retail & Product Rental	ERGO NEXT	$36	$432
Tech/IT	The Hartford	$29	$348
Transportation & Logistics	ERGO NEXT	$196	$2,352
Wholesale & Distribution	ERGO NEXT	$127	$1,524

How to Get the Best Workers' Comp Insurance in Arizona

You'll need to gather information when you're getting workers' compensation insurance, so you'll be ready when you start requesting quotes. Our guide makes this a more repeatable process.

1
Confirm Coverage Is Required
Arizona requires workers comp coverage for any employer with at least one employee. You'll have to verify whether any of your workers qualify for exemption, including independent contractors and corporate officer exclusions, through the Industrial Commission of Arizona.
2
Assign NCCI Class Codes to Your Workforce
Arizona uses NCCI class codes to set per-$100-payroll base rates. Review your class code assignments carefully. Misclassified employees in lower-cost codes will trigger audit adjustments that increase the final premium.
3
Gather Payroll and Loss History Documents
Compile total payroll by class code and your three-year loss runs. Arizona employers with no lost-time claims can present their clean record to underwriters to improve their rate.
4
Request Quotes from Multiple Arizona-Admitted Carriers
Use the competitive Arizona market to your advantage. Both ERGO NEXT and Nationwide offer digital quoting and are among Arizona's most affordable providers at $65 a month. The Hartford and Coverdash are strong options for businesses that need broader coverage options. Make sure to compare business insurance quotes fairly before deciding.
5
Compare SCF Arizona Alongside Private Carriers
Arizona's competitive state fund may provide coverage for businesses that have difficulty qualifying in the voluntary private market. Include SCF Arizona in your comparison.
6
Bind Coverage and File with the Industrial Commission
The Industrial Commission of Arizona requires proof of coverage before employees work. Submit your certificate of insurance and keep it current. Coverage typically binds within one business day for standard-risk Arizona employers.
7
Audit Your Payroll and Renew Annually
Arizona workers' comp policies are audited annually. Seasonal and project-based payrolls are common in Arizona's construction and agriculture sectors. Keep accurate payroll records by class code throughout the policy year to avoid large audit adjustments at renewal.

Best Workers' Compensation Insurance in Arizona: Bottom Line

ERGO NEXT and Nationwide are Arizona's top two workers' compensation insurers, tied at $65 per employee monthly. ERGO NEXT leads in customer experience. Coverdash is the best option for Arizona businesses that prioritize coverage completeness above all else.

Best Workers' Comp Insurance in Arizona Chart

WANT TO LEARN MORE ABOUT OTHER BUSINESS INSURANCE TYPES?

Workers' comp is only one part of commercial insurance that you likely need. Check our other resources for coverage in the state below to ensure you have comprehensive coverage:

Arizona Workers' Compensation Insurance FAQ

ERGO NEXT and Nationwide are the best workers' comp providers in Arizona, both posting monthly rates at $65. Thimble, Coverdash and biBerk are strong alternatives:

Nationwide: $65 a month
ERGO NEXT: $65 a month
Thimble: $76 a month
Coverdash: $88 a month
biBerk: $89 a month

Arizona requires workers' comp for all employers with at least one employee, with limited exceptions. The Industrial Commission of Arizona oversees compliance and enforcement statewide. Employers who fail to meet workers' comp requirements may incur civil fines and personal liability for all injury-related costs. Non-compliant employers cannot shift any injury expense to the injured worker.

The average cost of workers' comp insurance in Arizona is $90 per month across all industries, $16 higher than the $74 national average. Financial Services at $10 a month and Marketing at $11 a month are among the most affordable industries, while Construction ($153 a month) and Transportation & Logistics ($196 a month) are the most expensive in the state.

Arizona operates as a competitive private market, meaning employers can purchase workers' compensation coverage from any admitted private carrier. SCF Arizona (formerly State Compensation Fund) is a competitive state fund that operates alongside private insurers, providing a reliable option for businesses that have difficulty obtaining coverage. Employers who can't secure voluntary market or SCF coverage may access the NCCI-administered assigned risk pool.

Arizona workers' comp insurance covers four primary benefit categories:

Medical expenses for work-related injuries and occupational illnesses
Wage replacement benefits during recovery periods
Permanent disability compensation for lasting impairments
Survivor benefits for families of workers killed on the job

About Angelique Palenzuela-Cruz

Angelique Palenzuela-Cruz is a Business Insurance Content Writer at MoneyGeek, where she specializes in general liability, workers’ compensation and professional liability insurance. Her work helps small business owners understand how these policies apply to coverage, including risks like customer injuries, employee injuries, professional mistakes, client contract terms and industry-specific coverage requirements.
She primarily covers service-based businesses where liability and employee coverage decisions are especially important, including cleaning, consulting, beauty and wellness, childcare, education, fitness, food service, pet care, repair and maintenance, and other professional services.
Before joining MoneyGeek, Angelique spent nearly 12 years at Guthrie-Jensen Consultants, one of Southeast Asia’s largest management training firms, where she advanced from Training Consultant to Managing Consultant. In that role, she worked with business clients to assess operational needs, develop training programs and present performance analyses to executive decision-makers. She also helped establish Gladwin Training Consultancy, where she served in learning solutions and client service roles.
Her background gives her practical context for writing about how businesses operate, manage client expectations, structure teams and make risk decisions. At MoneyGeek, she applies that experience to business insurance content, connecting coverage to actual business needs.

LinkedIn: linkedin.com/in/ma-angela-cruz

Email Contact: angelique.palenzuela@moneygeek.com

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