MoneyGeek evaluated state insurance companies for their cost, client satisfaction, financial stability and online quote process to find the best workers’ comp insurance in Delaware. With excellent ratings across the board, Nationwide was MoneyGeek’s top choice in the state.
Workers' compensation insurance protects employees who sustain injuries or illnesses at work. It also ensures legal compliance for employers and helps defend them against lawsuits, save on compensation costs and boost employee morale.
Best Workers’ Compensation Insurance in Delaware
Best Workers’ Compensation Insurance in Delaware
With its excellent balance of pricing and customer service, we rated Nationwide is rated as the overall best workers’ compensation insurance company in Delaware. Its average cost is $125 per month, but your premium may vary depending on factors like your business type and payroll costs.
How was this MoneyGeek score calculated?
- Most affordable insurer in Delaware at $125 per month
- A+ financial rating from AM Best
- Received second highest customer service rating in the state
Among the insurance providers we surveyed, Nationwide offers the most affordable workers' compensation insurance in Delaware. Its outstanding A+ rating for financial stability by AM Best qualifies it as a reliable partner for businesses. The NAIC also reports that the company receives minimal customer complaints, indicating a good customer support program. However, acquiring a quote can take almost four minutes, which is significantly longer than the other insurers we evaluated in the state.
- Costs $137 per month, on average
- High customer satisfaction ratings
- Fast online quoting system
The Hartford is known for its superior customer service, meaning that there aren't many complaints filed against the business. This provider also received a strong grade for financial stability from AM Best, partly because of its lengthy tenure in the industry. Among the providers MoneyGeek analyzed in Delaware, The Hartford provides online quotes the quickest, with it taking the average customer just one minute and 10 seconds to receive a quote. However, with monthly premiums averaging $137, this company offers one of Delaware's more expensive workers' compensation insurance.
- Relatively cheap coverage at $127 per month
- Faster online quoting system than most of its competitors
- Excellent financial strength
In Delaware, Thimble provides the third-best overall workers' compensation insurance. It is one of the more affordable carriers in the state, with average monthly premiums of $127. Additionally, Thimble frequently quotes interested business owners online in less than a minute and a half. However, based on the NAIC's complaint index, Thimble receives more customer complaints than any other provider we analyzed in the state, indicating that its ongoing customer service is not as strong as that of other businesses on our list.
- Offers coverage for $152 per month
- Best financial strength rating
- Good customer satisfaction score
In Delaware, biBERK is rated as the fourth-best workers' compensation insurer. Compared to other insurers, it receives fewer consumer complaints, and AM Best has given it the best financial stability rating (A++). When compared to other carriers in the state, Next Insurance also offers quotes in an average of just over a minute and a half. It is, however, the most expensive of the companies we surveyed, with an average monthly premium of $152.
Cheapest Workers’ Compensation Insurance in Delaware
If cost is your primary concern, Nationwide offers Delaware's most affordable workers' compensation insurance. For companies with 20 employees and an average annual payroll expense of $1,250,000, this coverage costs just $125 per month, on average.
For businesses with 20 employees and payroll costs of $1,250,000 annually, Nationwide is MoneyGeek's top recommendation for cost-effective workers' compensation insurance in Delaware, with an average price of just $125 per month, or $1,503 per year.
This provider is an excellent choice for newly established business owners who require affordable coverage or for those looking to cut expenses. Nationwide receives fewer customer complaints than the typical business of this size, and its finances are steady enough to carry out its obligations.
To find the most affordable insurer, we evaluated providers by average monthly cost, although the cheapest option for your small company might differ depending on other factors. The table below lists the average monthly premiums for businesses with 20 employees for all Delaware workers’ compensation insurance companies we examined.
Best Workers’ Compensation Insurance for Micro Businesses in Delaware
biBERK, with an average monthly premium of $67, is the best workers’ compensation insurance provider for Delaware micro businesses.
Although the number of employees does affect your workers' compensation insurance rate, payroll is usually the more influential factor. To find the best workers' compensation for micro companies, or companies with fewer than 10 employees, we collected quotes from companies with five employees and annual payroll costs of $312,500.
biBERK is MoneyGeek’s top choice for workers’ compensation for micro businesses in Delaware. Companies with five employees and annual payroll costs of $312,500 can expect to pay $67 per month, or $710 per year, for workers’ comp coverage from this provider. Among the insurers we analyzed in the state, biBERK has the strongest financial strength rating from AM Best among the companies. The company also has a solid customer satisfaction score, indicating that few customers file complaints with the provider.
Best Workers’ Compensation Insurance for Midsize Businesses in Delaware
The Hartford offers the best workers’ compensation for midsize businesses in Delaware, with a monthly premium of $564 for companies with 100 employees.
Besides employee count, payroll also plays a major role in workers’ compensation insurance costs. MoneyGeek gathered quotes for a company with 100 employees and an annual payroll amount of $6,250,000 to find the best workers’ comp for midsize businesses in the state.
The Hartford ranks as MoneyGeek’s top pick for a medium-sized companies’ workers’ compensation insurance provider in Delaware. This insurer offers a monthly premium of $564 ($6,773 per year) for businesses with 100 employees and annual payroll costs of $6,250,000. It’s the second-cheapest option for midsize businesses and received the highest customer service score among the companies we analyzed. It also has a solid financial stability score and provides the fastest online quote estimate among the companies on our list.
How Much Is Workers’ Compensation Insurance in Delaware?
Businesses with 20 employees pay $135 per month on average for workers' compensation insurance in Delaware, which is less than the $168 per month nationwide average. MoneyGeek used the following sample policy limits to obtain these cost estimates:
- $1 million total policy limit
- $1 million per accident limit
- $1 million per employee limit
This means that, up to the $1 million total policy limit, the insurer will pay up to $1 million for every particular accident and a maximum of $1 million for each employee. However, you will be responsible for covering any additional lost income or excessive medical costs incurred by your employee. Your coverage limits may be increased with the use of an umbrella policy.
The number of employees and annual payroll are two of the most important variables affecting workers' compensation insurance rates. The table below shows how employee count affects the cost of workers’ compensation in Delaware.
How was this cost calculated?
Factors That Impact Workers’ Compensation Costs in Delaware
Workers' compensation insurance rates might differ greatly between businesses. This is due to factors like the workforce size, employee class code, payroll expenses, state laws and claims history that affect the overall premium of a workers’ compensation policy.
Most insurance companies impose a fixed fee for each $100 of payroll. This rate varies by industry and is decided at the state level, but businesses with higher payroll expenses than average will likely pay a higher premium. Delaware imposed an average of $1.34 per $100 of payroll in 2022, which is more than what most states charge.
Number of employees
Your insurance prices can be considerably impacted the number of employees in your company. A large workforce increases the likelihood that workers will become ill or injured on the job. The cost of workers' compensation insurance may increase due to this increased risk.
Employee class code
The class code of an employee identifies the type of work they do. The price that is charged for every $100 of payroll is determined by this code. Rates are typically greater in sectors with higher injury risks, like construction, than in sectors with lower injury risks, like consulting.
Insurance firms consider previous claims when setting rates. Businesses with a long history of claims are considered to be riskier to insure, hence they are usually charged higher premiums.
In Delaware, claims for workers' compensation are not rare. In 2021, the U.S. Bureau of Labor Statistics (BLS) reported 6,900 nonfatal workplace illnesses and injuries at private industry companies in Delaware. The BLS also reported more than 2.6 million nonfatal workplace illnesses and injuries in the private sector nationwide in 2021.
Do You Need Workers’ Compensation Insurance in Delaware?
Businesses in Delaware with one or more employees, whether they are part-time or full-time, must carry workers’ compensation insurance. Only farm employees are exempt from this rule.
Even if you are exempt, having workers' compensation insurance in Delaware is important to guarantee your financial security. By choosing not to purchase workers' compensation insurance, you accept full financial responsibility for any accidents at work, including medical costs. Injured employees may also file a lawsuit as a result, incurring significant costs.
Delaware employers who do not furnish the legally needed workers' compensation insurance or who do not abide by the workers' compensation rules are subject to penalties for each day of noncompliance.
What Does Workers’ Compensation Insurance Cover in Delaware?
Workers’ compensation insurance serves two functions: it guarantees that injured employees receive medical care and reimbursement for a portion of the revenue they lose while they are incapable of returning to work. It also safeguards employers — who are the policyholders — from lawsuits brought by employees hurt at work.
When an employee cannot work due to an illness or accident sustained at work, workers' compensation insurance can help them keep their jobs. To aid in their swift return to work, injured employees may also have access to rehabilitation programs, including physical therapy and vocational training. Workers’ compensation insurance may be able to pay death benefits to a deceased employee's dependents.
Workers’ Comp Resources for Employees in Delaware
The Delaware Office of Workers’ Compensation is the place where Delaware employees can get assistance with worker’s compensation and submit insurance claims.
Employers who require workers' compensation benefits must first provide all required medical, surgical and hospital care starting on the date of the accident, keep a record of all injuries suffered by workers and submit a written report to the Office of Workers' Compensation and their insurance carrier within 10 days of the incident.
Frequently Asked Questions About Workers’ Compensation Insurance in Delaware
To help you in making an informed choice, MoneyGeek explored commonly asked questions regarding the best workers' compensation insurance in Delaware.
About Melissa Wylie
- Delaware General Assembly. "The Delaware Code Online: Workers’ Compensation." Accessed May 25, 2023.
- Delaware.gov. "Workers Compensation – Insurance Requirement." Accessed May 25, 2023.
- Oregon.gov. "2022 Workers’ Compensation Premium Index Rates." Accessed May 25, 2023.
- Thimble. "Delaware Workers’ Compensation Insurance Laws." Accessed May 25, 2023.
- U.S. Bureau of Labor Statistics. "Injuries, Illnesses and Fatalities: Latest Numbers." Accessed May 25, 2023.
- U.S. Bureau of Labor Statistics. "State Occupational Injuries, Illnesses and Fatalities." Accessed May 25, 2023.