Workers' comp rates in Maryland depend on your industry and team size. Find answers to common coverage questions below.
Best Workers' Comp Insurance in Maryland
With rates starting at $5 monthly, The Hartford, NEXT and Simply Business offer the cheapest and best workers' comp insurance in Maryland.
Compare top Maryland workers’ comp insurance providers and find your ideal coverage.
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Updated: November 23, 2025
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Best Maryland Workers' Comp Insurance: Fast Answers
What are the best and cheapest workers' comp insurance providers in Maryland?
The Hartford offers the top cheap workers' compensation insurance in Maryland. The following are the state's cheapest and best workers' comp insurance providers and their average monthly rates:
- The Hartford: $67
- NEXT: $66
- Simply Business: $67
- Coverdash: $69
- biBerk: $72
Is workers' comp insurance required in Maryland?
Maryland mandates workers' comp insurance for most employers with employees. Sole proprietors without employees, independent contractors and some agricultural workers are exempt. Businesses that fail to carry the required coverage face penalties of up to $1,000 per employee, plus daily fines, until compliance is achieved.
How much does workers' comp insurance cost in Maryland?
Workers' compensation insurance costs in Maryland run $35 per employee monthly for a two-person business. Costs depend on your specific industry and payroll size. Low-risk companies, such as speech therapy, pay around $3 per employee per month, while high-risk industries, like roofing, can cost $398 per employee per month.
How do you get workers' comp insurance in Maryland?
You can get workers' comp coverage in Maryland by:
- Purchasing coverage from licensed private insurance companies operating in the state
- Working with insurance brokers who represent multiple carriers and can shop rates
- Buying directly from insurers online or through their local agents
Many business owners compare quotes online or through brokers to get the best rate and compliance support.
What does Maryland workers' comp insurance cover?
Workers' compensation in Maryland covers:
- Complete medical expenses for work-related injuries and occupational illnesses
- Partial wage replacement during recovery periods when employees cannot work
- Permanent disability compensation for lasting impairments affecting earning capacity
- Survivor benefits for families when workplace fatalities occur
Best Workers' Comp Insurance Companies in Maryland
The Hartford tops our rankings for workers' comp insurance in Maryland, offering rock-solid financial strength and competitive pricing at just $67 monthly. NEXT and Simply Business round out the top three, providing excellent alternatives for small business owners seeking reliable coverage.
>>Back to top
| The Hartford | 4.63 | $67 | 2 | 3 |
| NEXT Insurance | 4.62 | $66 | 1 | 2 |
| Simply Business | 4.54 | $67 | 5 | 1 |
| Coverdash | 4.47 | $69 | 6 | 2 |
| biBERK | 4.44 | $72 | 2 | 5 |
| Nationwide | 4.43 | $77 | 2 | 4 |
| Progressive Commercial | 4.42 | $67 | 7 | 5 |
| Thimble | 4.40 | $67 | 8 | 5 |
| Hiscox | 4.39 | $69 | 4 | 6 |
| Chubb | 4.26 | $81 | 3 | 4 |
How Did We Determine These Rates and Rankings?
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.
Get Matched to Top Workers' Comp Insurers in Maryland
Select your industry and state to get a customized Maryland workers' comp quote from your top provider match.
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LEARN MORE ABOUT THE BEST BUSINESS INSURANCE IN MARYLAND
Explore the best business insurance providers in Maryland through our guides:
Best Maryland Workers’ Comp Insurance Company Reviews
Review the leading workers' comp insurers we evaluated for Maryland businesses:
The Hartford
Best Workers' Comp Insurance in Maryland
MoneyGeek Rating
4.6/ 5
4.6/5Affordability
4.6/5Customer Experience
4.7/5Coverage Points
Average Monthly Workers' Comp Premium
$67Based on average costs for Maryland businessesWorkers' Comp Claims Processing Score
4.5/5 (1st)Based on customer satisfaction surveysWorkers' Comp Customer Likelihood to Be Recommended to Others Score
4.5/5 (2nd)Percentage of customers who would recommend The Hartford
NEXT
Best Maryland Workers' Comp Insurance: Runner Up
MoneyGeek Rating
4.6/ 5
4.4/5Affordability
4.7/5Customer Experience
4.8/5Coverage Points
Average Monthly Workers' Comp Premium
$66Based on average costs for Maryland businessesWorkers' Comp Digital Experience Score
3.8/5 (1st)Rating from customer satisfaction surveyWorkers' Comp Customer Likelihood to Be Recommended to Others Score
4.8/5 (1st)Percentage of customers who would recommend NEXT
Cheapest Workers' Comp Insurance Companies in Maryland
NEXT delivers the most affordable workers' comp coverage in the state at $66 monthly ($786 annually), putting $5 back in your pocket each month and saving you 6% compared to the state average. The Hartford and Simply Business round out the top three cheapest options, both offering competitive monthly rates of $67. The table below shows costs from all companies we analyzed.
| NEXT Insurance | $66 | $786 |
| The Hartford | $67 | $800 |
| Simply Business | $67 | $803 |
| Progressive Commercial | $67 | $810 |
| Thimble | $68 | $810 |
| Hiscox | $69 | $822 |
| Coverdash | $69 | $832 |
| biBERK | $72 | $859 |
| Nationwide | $77 | $926 |
| Chubb | $81 | $970 |
How Did We Determine These Rates?
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.
Cheapest Workers' Comp in Maryland by Industry
NEXT offers the most affordable workers' comp for welding businesses at $104 monthly or $1,247 annually. NEXT dominates 38 industries, excelling in auto repair, wedding planning and window cleaning sectors. The Hartford ranks second for affordability across 21 industries, delivering top rates for accountants, ad agencies and automotive businesses.
| Automotive | The Hartford | $106 | $1,267 |
| Accountants | The Hartford | $18 | $212 |
| Ad Agency | The Hartford | $14 | $171 |
| Auto Repair | NEXT Insurance | $136 | $1,629 |
| Barber | NEXT Insurance | $12 | $149 |
| Bakery | Simply Business | $47 | $559 |
| Bounce House | NEXT Insurance | $36 | $430 |
| Beauty Salon | Simply Business | $13 | $154 |
| Catering | NEXT Insurance | $64 | $771 |
| Candle | The Hartford | $36 | $434 |
| Cannabis | Nationwide | $86 | $1,038 |
| Coffee Shop | NEXT Insurance | $41 | $494 |
| Cleaning | The Hartford | $43 | $521 |
| Computer Programming | The Hartford | $25 | $302 |
| Computer Repair | Progressive Commercial | $22 | $258 |
| Consulting | NEXT Insurance | $27 | $325 |
| Construction | The Hartford | $159 | $1,905 |
| Courier | NEXT Insurance | $203 | $2,431 |
| Contractor | Simply Business | $147 | $1,760 |
| Dental | The Hartford | $10 | $117 |
| Daycare | NEXT Insurance | $12 | $142 |
| DJ | NEXT Insurance | $12 | $145 |
| Drone | NEXT Insurance | $24 | $290 |
| Dog Grooming | NEXT Insurance | $57 | $686 |
| Electrical | Progressive Commercial | $51 | $613 |
| Ecommerce | Progressive Commercial | $19 | $227 |
| Engineering | NEXT Insurance | $34 | $403 |
| Florist | NEXT Insurance | $55 | $662 |
| Excavation | NEXT Insurance | $96 | $1,147 |
| Food | The Hartford | $37 | $448 |
| Funeral Home | NEXT Insurance | $24 | $287 |
| Food Truck | NEXT Insurance | $40 | $477 |
| Handyman | Simply Business | $84 | $1,007 |
| Gardening | NEXT Insurance | $41 | $492 |
| Home-based | NEXT Insurance | $9 | $107 |
| HVAC | NEXT Insurance | $55 | $660 |
| Hospitality | Thimble | $60 | $725 |
| Junk Removal | The Hartford | $123 | $1,479 |
| Janitorial | Simply Business | $43 | $510 |
| Jewelry | NEXT Insurance | $27 | $325 |
| Lawyers | Thimble | $47 | $563 |
| Lawn/Landscaping | The Hartford | $32 | $390 |
| Marine | Progressive Commercial | $132 | $1,579 |
| Manufacturing | The Hartford | $51 | $609 |
| Mortgage Broker | NEXT Insurance | $12 | $149 |
| Massage | NEXT Insurance | $13 | $154 |
| Mortgage Broker | Thimble | $12 | $149 |
| Moving | NEXT Insurance | $229 | $2,751 |
| Painting | The Hartford | $121 | $1,457 |
| Nonprofit | Progressive Commercial | $28 | $341 |
| Personal Training | Simply Business | $23 | $270 |
| Party Rental | NEXT Insurance | $32 | $382 |
| Personal Training | The Hartford | $23 | $270 |
| Pet | Thimble | $27 | $324 |
| Pest Control | The Hartford | $63 | $751 |
| Pharmacy | NEXT Insurance | $6 | $66 |
| Physical Therapy | NEXT Insurance | $6 | $75 |
| Photography | NEXT Insurance | $15 | $180 |
| Plumbing | NEXT Insurance | $56 | $677 |
| Restaurant | The Hartford | $57 | $680 |
| Pressure Washing | Nationwide | $89 | $1,072 |
| Real Estate | NEXT Insurance | $26 | $315 |
| Security | The Hartford | $45 | $545 |
| Retail | The Hartford | $31 | $375 |
| Roofing | Nationwide | $871 | $10,457 |
| Software | The Hartford | $24 | $284 |
| Snack Bars | The Hartford | $39 | $468 |
| Speech Therapist | NEXT Insurance | $5 | $63 |
| Spa/Wellness | NEXT Insurance | $15 | $184 |
| Startup | NEXT Insurance | $11 | $137 |
| Transportation | NEXT Insurance | $200 | $2,398 |
| Tech/IT | Simply Business | $24 | $288 |
| Tree Service | Simply Business | $196 | $2,358 |
| Travel | NEXT Insurance | $6 | $74 |
| Tutoring | NEXT Insurance | $9 | $104 |
| Trucking | Simply Business | $239 | $2,867 |
| Veterinary | The Hartford | $17 | $206 |
| Welding | NEXT Insurance | $104 | $1,247 |
| Wedding Planning | NEXT Insurance | $25 | $303 |
| Window Cleaning | NEXT Insurance | $183 | $2,196 |
| Wholesale | Progressive Commercial | $35 | $424 |
How Much Is Workers' Comp Insurance in Maryland?
Workers' comp insurance cost in Maryland averages $70 monthly ($842 annually), running slightly below the national average of $74. Industry rates vary, with speech therapists paying just $6 monthly ($3 per employee) while roofers face $797 monthly ($399 per employee).
| Accountants | $19 | $232 |
| Ad Agency | $15 | $182 |
| Auto Repair | $145 | $1,745 |
| Automotive | $112 | $1,342 |
| Bakery | $51 | $608 |
| Barber | $13 | $160 |
| Beauty Salon | $14 | $166 |
| Bounce House | $39 | $463 |
| Candle | $38 | $461 |
| Cannabis | $80 | $958 |
| Catering | $71 | $846 |
| Cleaning | $47 | $562 |
| Coffee Shop | $45 | $537 |
| Computer Programming | $27 | $322 |
| Computer Repair | $23 | $278 |
| Construction | $173 | $2,072 |
| Consulting | $29 | $345 |
| Contractor | $158 | $1,894 |
| Courier | $216 | $2,589 |
| DJ | $13 | $159 |
| Daycare | $13 | $153 |
| Dental | $11 | $127 |
| Dog Grooming | $62 | $747 |
| Drone | $26 | $307 |
| Ecommerce | $21 | $248 |
| Electrical | $55 | $656 |
| Engineering | $36 | $435 |
| Excavation | $102 | $1,220 |
| Florist | $59 | $702 |
| Food | $40 | $482 |
| Food Truck | $43 | $522 |
| Funeral Home | $26 | $307 |
| Gardening | $45 | $535 |
| HVAC | $60 | $716 |
| Handyman | $89 | $1,062 |
| Home-based | $10 | $115 |
| Hospitality | $66 | $789 |
| Janitorial | $46 | $556 |
| Jewelry | $29 | $347 |
| Junk Removal | $133 | $1,596 |
| Lawn/Landscaping | $36 | $427 |
| Lawyers | $50 | $601 |
| Manufacturing | $56 | $673 |
| Marine | $143 | $1,712 |
| Massage | $14 | $166 |
| Mortgage Broker | $13 | $160 |
| Moving | $249 | $2,989 |
| Nonprofit | $30 | $364 |
| Painting | $133 | $1,600 |
| Party Rental | $35 | $421 |
| Personal Training | $24 | $286 |
| Pest Control | $67 | $807 |
| Pet | $29 | $353 |
| Pharmacy | $6 | $73 |
| Photography | $16 | $196 |
| Physical Therapy | $7 | $79 |
| Plumbing | $61 | $733 |
| Pressure Washing | $80 | $966 |
| Real Estate | $29 | $342 |
| Restaurant | $61 | $727 |
| Retail | $33 | $401 |
| Roofing | $797 | $9,563 |
| Security | $50 | $602 |
| Snack Bars | $41 | $495 |
| Software | $25 | $304 |
| Spa/Wellness | $17 | $200 |
| Speech Therapist | $6 | $69 |
| Startup | $12 | $150 |
| Tech/IT | $26 | $310 |
| Transportation | $220 | $2,639 |
| Travel | $7 | $81 |
| Tree Service | $212 | $2,539 |
| Trucking | $257 | $3,088 |
| Tutoring | $10 | $115 |
| Veterinary | $18 | $222 |
| Wedding Planning | $27 | $329 |
| Welding | $111 | $1,337 |
| Wholesale | $38 | $459 |
| Window Cleaning | $198 | $2,381 |
Maryland Workers' Comp Insurance Cost Factors
These cost factors affect workers' compensation insurance rates in Maryland:
Competitive Rating System with Up to 25% Adjustment
Maryland operates under a competitive rating system where insurance companies can apply policy credits and debits up to 25% to adjust their filed rates. This flexibility means insurers can reward well-managed businesses with significant discounts or charge higher rates for riskier operations within the same class code. A construction company with strong safety programs might pay 20% less than a competitor with poor safety records, demonstrating how workplace safety investments and effective claims management can directly lower your premiums.
NCCI Rate Decreases
Maryland has experienced consistent NCCI pure premium loss cost decreases from 2015 through 2025, with the most recent decrease of 13.2% effective January 1, 2025. These ongoing decreases directly lower your base rates because NCCI adjusts loss costs based on actual Maryland claim data. When fewer workers get injured or medical costs decline, NCCI reduces the pure premium portion of your rate, meaning Maryland businesses start with a significantly lower baseline cost compared to previous years.
Chesapeake Employers' Insurance Company (State Fund)
Chesapeake Employers' Insurance Company (formerly IWIF) serves as Maryland's largest workers' comp insurer with approximately 23% market share and operates as the insurer of last resort. The company declared its highest-ever policyholder dividend of $55 million for 2025 and filed an 8% net rate decrease effective April 1, 2025. Having a guaranteed market option prevents price gouging, and Chesapeake's competitive pricing forces other insurers to stay price-competitive, benefiting all Maryland businesses.
All-Payer Hospital Rate Setting
Under Maryland's all-payer hospital rate setting system, workers' comp insurers pay the same amount for hospital services as all other payers. This system stabilizes your costs because insurers can accurately predict hospital expenses when pricing policies. Maryland's system eliminates cost shifting that occurs in other states where workers' comp insurers often pay higher rates than Medicare or private health insurance, resulting in lower, predictable medical costs and more competitive premiums.
Preferred Provider Organization (PPO) Discounts
Some Maryland workers' comp insurers contract with Preferred Provider Organizations, where providers agree to accept fees lower than those established by the Workers' Compensation Commission's Medical Fee Guide. Your premiums benefit when insurers use PPO networks because medical providers accept discounted rates below the standard fee schedule, reducing claim costs by 10% to 30% per claim. These savings accumulate across all claims and get reflected in lower premiums at renewal.
Competitive Market
Maryland's workers' comp market remains healthy and competitive with 99 insurers reporting premium earned in the state. This high level of competition directly benefits your bottom line by forcing insurers to compete aggressively for your business. With nearly 100 carriers writing coverage, you can shop multiple quotes and leverage competitive pressure to negotiate better rates, giving Maryland businesses more options to find the right fit at the right price.
How Much Workers' Comp Insurance Do I Need in Maryland?
Maryland law requires workers' compensation insurance for businesses with at least one employee, whether full-time or part-time. Agricultural employers with fewer than three employees or annual payroll under $15,000 are exempt. Your policy must cover medical expenses with no dollar limits, wage replacement at two-thirds of average weekly wages and additional benefits like vocational rehabilitation and funeral expenses up to $7,000.
Failing to carry the required workers' compensation coverage results in fines up to $10,000 to Maryland's Uninsured Employers' Fund. Corporate officers face personal liability, and violations can lead to criminal charges with fines up to $5,000 and imprisonment up to one year. Uninsured employers also face business license suspension.
Maryland Workers' Comp Insurance Exemptions
While you're required to have coverage in Maryland, some business categories are exempt from workers' comp requirements:
- Agricultural employers with fewer than three employees or annual payroll under $15,000: Small farms meeting either threshold don't need to provide workers' comp coverage for agricultural labor, and office workers at agricultural operations are specifically exempt regardless of farm size.
- Domestic workers employed less than 40 hours per week: Nannies, housekeepers and caregivers are exempt unless they work 40 or more hours weekly for one household or earn $750 or more in any calendar quarter.
- Owner-operators of large tractor-trailer vehicles: Independent truckers who own and operate their rigs are excluded from Maryland's coverage requirements.
- Sole proprietors and partners in business partnerships: Business owners operating as sole proprietors or partnership owners are automatically excluded but can elect coverage at a minimum annual wage of $72,900.
- Corporate officers and LLC members: Corporate officers are automatically covered but can file a waiver to opt out, while LLC members owning 20% or more can elect exemption (minimum annual wage of $72,800, maximum of $291,200 if covered).
- Independent contractors, self-employed workers and real estate agents: Individuals who provide services to businesses without being formally classified as employees don't require coverage but can purchase voluntary policies.
FEDERAL WORKERS' COMP PROGRAMS OVERRIDE STATE REQUIREMENTS
Federal employees in Maryland receive benefits through the Federal Employees' Compensation Act instead of the state system. Railroad workers follow the Federal Employers' Liability Act, while maritime employees fall under the Longshore and Harbor Workers' Compensation Act. If you hire private contractors working on federal projects, they need Maryland workers' comp coverage, not federal benefits. Independent contractors and self-employed workers don't require coverage under either system.
How to Get the Best Workers' Comp Insurance in Maryland
Find out how to get workers' comp insurance with the right provider at the best price.
- 1Determine if you need workers' comp coverage in Maryland
Check whether workers' comp exemptions apply to your business structure or employee types. A sole proprietor running a consulting business doesn't need coverage, but hiring one employee changes everything. Maryland uses NCCI classification codes with around 700 industry categories to set your rates. Misclassifying workers leads to audit penalties and coverage gaps when you file claims.
- 2Gather your business information
You'll need employee count, annual payroll and NCCI classification codes for accurate quotes. Don't estimate these numbers. Wrong payroll figures or classification codes create problems: surprise audit bills or denied claims when your employees need coverage. Construction businesses face extra scrutiny since Maryland tracks industry risks carefully.
- 3Request workers' comp quotes from multiple carriers
Get quotes from at least three insurers to compare business insurance costs. Include Chesapeake Employers' Insurance Company, Maryland's competitive state fund. Chesapeake filed an 8% rate decrease effective April 2025, but private insurers often beat state fund pricing. Compare quotes side by side to find the best value for your business.
- 4Research providers with industry experience
Look beyond cheap business insurance rates. Focus on insurers who understand your specific business risks. Construction companies benefit from carriers specializing in high-risk industries. Retail businesses need insurers experienced with customer-facing operations and the slip-and-fall claims common in Maryland.
- 5Evaluate your top provider options
Research each insurer's track record to find the best insurance for your business:
- Check claim processing times, customer service ratings and complaint history with the Maryland Workers' Compensation Commission.
- Ask about safety consultation programs that reduce your premium costs.
- Verify experience with Maryland's NCCI reporting requirements, especially since the state saw a 13.2% rate decrease for 2025.
- Look for carriers offering return-to-work programs and safety resources built for Maryland businesses.
- 6Review and purchase your workers' compensation policy
Read policy terms carefully, focusing on coverage limits, exclusions and renewal conditions specific to Maryland regulations. Pick payment options that match your cash flow needs. Pay-as-you-go workers' comp works well for seasonal businesses. Maryland insurance companies can offer discounts and credits up to 25% on workers' comp coverage, so ask what premium reductions you qualify for.
- 7Reassess before annual renewal
Review how your business changed before your policy renews. Check your employee count, examine filed claims and verify your experience modification rate. NCCI's 2025 filing shows a 13.2% decrease in pure premium loss costs for Maryland, which could lower your rates even without claims. Update your insurer about business changes to avoid paying too much or having coverage gaps.
Best Maryland Workers' Compensation Insurance: Bottom Line
The Hartford, NEXT and Simply Business rank as Maryland's top workers' comp insurers. Businesses should research each company's service quality, maximize discounts and select coverage that fits your budget.
About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. With over five years of experience analyzing the insurance market, he conducts original research and creates tailored content for all types of buyers. His insights have been featured in publications like CNBC, NBC News and Mashable.
Fitzpatrick holds a master’s degree in economics and international relations from Johns Hopkins University and a bachelor’s degree from Boston College. He's also a five-time Jeopardy champion!
He writes about economics and insurance, breaking down complex topics so people know what they're buying.
sources
- Insurance Journal. "Maryland's State-Run WC Insurer IWIF to Become Private Nonprofit Co." Accessed December 1, 2025.
- Maryland Insurance Administration. "2021 Report on Workers' Compensation Required by State Government Article 2-10A-03." Accessed December 1, 2025.
- Maryland Insurance Administration. "2024 Report on Workers' Compensation Insurance." Accessed December 1, 2025.
- Maryland Insurance Administration. "Workers' Compensation Insurance 2025 Report." Accessed December 1, 2025.
- The Maryland People's Law Library. "Workers' Compensation." Accessed December 1, 2025.