Best Workers' Comp Insurance in Delaware

These rates are estimates based on MoneyGeek's analysis of small businesses with two employees across 79 major industries. Actual rates vary based on your business location, industry risk factors, claims history, coverage limits and individual insurer underwriting criteria. Contact insurers directly for personalized quotes.

These rates represent small businesses with two employees across 79 major industries and focus solely on workers' comp policies. Your actual premium depends on your business location, industry, employee count, claims history, coverage limits and other factors insurers consider.

Delaware passed House Bill 373 in 2014 to cap what doctors and hospitals can charge for treating workplace injuries. The law ties reimbursement rates to Medicare plus a set percentage. Before this reform, medical costs ate up over 60% of workers' comp claims expenses. By controlling medical bills, HB 373 slashed the biggest expense driving your premiums and helped Delaware drop from 7th to 23rd most expensive state for coverage.

Delaware workers' comp rates dropped for the ninth straight year on December 1, 2025. The voluntary market saw an 11.6% average reduction, while the residual market decreased 9.08%. The Delaware Compensation Rating Bureau keeps lowering the base loss costs used to calculate your premiums. Each year's reduction builds on previous savings, creating long-term cost reductions for Delaware businesses. If you've been operating since 2016, you've likely watched your base rates drop year after year.

Delaware runs a Workplace Safety Program that cuts your workers' comp premiums by up to 19% when you maintain a safe workplace. At year-end 2024, 932 employers participated and saved roughly $4.9 million. The program gives you an immediate discount while helping you prevent injuries that would spike your experience modification rate. Eligibility expanded December 1, 2024. You need at least 3 years of continuous coverage and $5,000 in premiums over that period to qualify.

The Delaware Compensation Rating Bureau sets your rates using data from the National Council on Compensation Insurance. The DCRB reviews claims, payroll and classification codes before recommending rates to the Delaware Department of Insurance. Here's what matters for your bottom line: insurers can adjust your rates up to 25% based on your safety record and claims history. Two Delaware businesses in the same industry can pay drastically different rates based on how well they manage workplace safety.

Delaware's residual market covers businesses with high risk or poor claims history when standard insurers won't. Think of it as last-resort coverage. Residual rates run 25% to 50% higher because insurers view these businesses as money-losers. Good news: more businesses are moving from residual to voluntary markets recently. If you've been stuck paying residual market rates, Delaware's improving conditions mean you might now qualify for voluntary coverage and cut your premiums by thousands annually.

Delaware bans balance billing in workers' comp. Medical providers can't bill your injured employees for charges above the state's fee schedule. This keeps your insurer's costs predictable. Without this protection, a provider charging $200 for a procedure with an $80 approved rate could stick your employee with the $120 difference. Delaware's ban prevents medical costs from inflating your claims expenses, which keeps your rates stable and protects your workers from unexpected bills.

Medical payments per claim grew 7% yearly from 2021 to 2023 in Delaware, while total claim costs increased 3% yearly from 2019 to 2022. Delaware's fee schedule updates keep medical inflation lower than states where providers charge whatever they want. Your premiums rise more slowly because Delaware actively controls medical costs, one of the biggest expense drivers in workers' comp. You face smaller rate increases than businesses in states without these controls.

Delaware's Insurance Commissioner says claim frequency and severity are both dropping thanks to businesses participating in the Workplace Safety Program. Insurers set rates based on how often claims happen and how much they cost. When Delaware businesses collectively reduce both factors, the DCRB lowers base rates for everyone. You benefit from industry-wide safety improvements even if you don't participate directly, though joining the program multiplies your savings through discounts and better experience mods.

Agricultural businesses don't have to carry workers' comp in Delaware, though they can buy coverage voluntarily. This exemption removes farm operations from the risk pool, slightly lowering rates for other industries since agricultural work carries higher injury risks. If you run a non-agricultural business, this has minimal impact on your rates. Agricultural businesses choosing coverage pay rates that reflect their industry's higher risk levels compared to office work or retail.

Delaware gives you 10 days to report workplace injuries after you learn about them. You file a First Report of Occupational Injury or Disease with both the Office of Workers' Compensation and your insurance carrier. Quick reporting helps your insurer manage claims better through early intervention and fraud prevention. The 10-day deadline lets insurers investigate fast, get injured workers proper care immediately and prevent complications that jack up claim costs. Your prompt reporting keeps expenses lower for everyone.