Updated: May 12, 2025
Advertising & Editorial Disclosure
MoneyGeek determined the best workers' compensation insurance in Minnesota by evaluating providers’ affordability, customer service record, financial stability and online quote process. Thimble emerged as the top provider, earning high scores in most categories.
In Minnesota, small business owners are legally obligated to have workers' compensation insurance. This insurance pays for medical expenses, lost wages and potential lawsuits in case employees suffer work-related injuries or illnesses.
Why Trust MoneyGeek? We collected 677 workers’ compensation insurance quotes and analyzed cost information alongside customer satisfaction and financial stability reports to determine the best workers’ compensation insurance companies for small businesses in Minnesota.
Coverage costs and company information for workers' compensation insurance providers in Minnesota were last updated in 2023.
Moneygeek’s analysis found that Thimble offers the best workers' compensation insurance in Minnesota at an average of $116 per month. This insurer offers affordable rates, a fast online quote process and boasts a strong financial stability rating.
How was this MoneyGeek score calculated?
MoneyGeek used the following weights to score and rank insurers:
MoneyGeek used the following business profile to gather quotes:
Thimble emerged as the top provider of workers' comp insurance in Minnesota. A policy costs an average of $116 per month, the most affordable rate in our comparison group. Business owners will find it easy to get an online quote from this provider since the process takes less than two minutes on average. Thimble has a financial stability rating of A- from AM Best, which is lower than competitors but is a solid rating that indicates it can meet its financial obligations. The company has a relatively high NAIC complaint index, meaning that it receives more complaints than average for a company of its size.
The Hartford is the second-best insurer for workers' comp insurance in Minnesota. Its policies cost an average of $139 per month, which is relatively expensive compared to other insurers. However, if you prioritize good service, The Hartford stands out for having an excellent customer satisfaction track record. Getting an online quote from this provider takes just about a minute, so it's ideal if you need a quote fast. The Hartford also has a sound financial background, receiving a high financial strength rating from AM Best, so policyholders can trust that it can fulfill its financial obligations.
Thimble is the cheapest workers' compensation insurance company in Minnesota, with an average rate of $116 per month. This insurer offers the most affordable rates for businesses with 20 employees and annual payroll costs of $1,250,000.
When purchasing workers' comp insurance, keep in mind that your employee count and payroll costs will have a significant impact on how much you pay.
If you are looking for savings on your workers' comp insurance in Minnesota, Thimble offers the cheapest rates at an average of $116 per month. However, depending on your employee count and payroll costs, rates may vary. Thimble stands out for affordability but receives more complaints than average, so you may have to compromise on good customer service. However, it has a strong financial stability rating, so you can trust that it will be able to meet its financial obligations, which is essential when considering insurance providers.
To identify the cheapest insurer, we ranked companies based on average monthly costs. However, the cheapest insurer for your small business may varydepending on other factors.
We compared the average monthly and annual costs by provider for insuring a business with 20 employees in Minnesota in the table below. Providers are ranked based on their monthly cost.
| Thimble | $116 | $1,268 |
| Nationwide | $136 | $1,626 |
| The Hartford | $139 | $1,671 |
| biBERK | $151 | $1,702 |
Nationwide offers the best workers' compensation insurance in Minnesota for micro businesses in Minnesota with five employees. Its policies cost an average of $59 per month. This premium is also based on an annual payroll amount of $312,500.
Businesses with fewer than 10 employees are typically considered micro businesses. While employee count will impact how much you pay for workers' comp insurance, payroll costs tend to have a more significant impact on premiums.
If you are a micro business owner looking for a balance of affordable rates and good service, Nationwide is the best option in Minnesota. With an average premium of $59 per month, Nationwide offers the cheapest rates for businesses with five employees. Nationwide also has a good customer satisfaction track record with a low NAIC complaints index. Nationwide is generally considered a reliable insurer based on its strong financial stability rating, which indicates that it is capable of fulfilling its financial obligations. However, its online quote process can be slow.
Thimble is the best company for workers' comp insurance in Minnesota for midsize businesses with 100 employees and an annual payroll amount of $6,250,000. Its policies cost an average of $503 per month.
Employee count is a factor in the cost of workers’ compensation insurance, but payroll costs tend to have a bigger impact on premiums.
Thimble offers midsize businesses with 100 employees the cheapest rates in Minnesota at an average of $503 per month. The company has a good financial strength rating, indicating that it is able to meet financial obligations such as paying out claims. It also offers a fast online quote process, which is ideal if you're shopping around and need quotes quickly. However, Thimble has a relatively high NAIC complaint index, meaning that its customer service is not the best among the insurers in our comparison group.
Workers' compensation insurance in Minnesota costs an average of $135 per month for businesses with 20 employees. Compared to the average national cost of $168 per month, business owners in Minnesota pay less for workers' comp insurance.
For this analysis, Moneygeek used a sample policy with the following limits:
The total policy limit is the maximum amount the insurer will pay out in a given policy year. The per accident limit is the maximum the policy will pay for a single accident, while the employee limit is the maximum the policy will pay for a single employee. Any costs above these limits will not be covered by the workers' comp policy.
Workers' compensation insurance costs vary depending on employee count and annual payroll cost. The table below shows the average costs in Minnesota for five, 20 and 100 employees.
How was this cost calculated?
To find the average cost of workers’ compensation insurance in Arkansas, we gathered quotes for three types of software development businesses:
| 5 | $63 | $711 |
| 20 | $135 | $1,567 |
| 100 | $549 | $6,443 |
The cost of workers’ compensation insurance varies depending on several factors unique to each business.
Payroll costs are a major factor in determining premiums — businesses with high payroll costs can expect to pay higher premiums for workers' comp insurance. Insurers use a fixed rate, called a premium index rate, that is set at the state level and based on industry for every $100 of payroll. In 2022, Minnesota charged an average premium index rate of $1.55 per $100 of payroll, ranking among the top 15 states with high index rates.
Workers' compensation insurance costs more for businesses with a high employee count since the risk of injury tends to be higher in companies with more employees.
A class code represents the type of work performed by employees, such as construction or accounting. The class code is used to determine the rate charged for every $100 of payroll. High-risk industries like construction, where injuries are more likely to occur, typically have a higher rate.
Insurers consider how often a business has filed claims in the past when determining premiums. Businesses with a history of claims will typically pay more for workers' comp.
In 2021, the U.S. The Bureau of Labor Statistics (BLS) reported 63,800 nonfatal workplace illnesses and injuries at private businesses in Minnesota. In the same year, more than 2.6 million nonfatal private-industry workplace injuries and illnesses were reported nationally.
In Minnesota, all businesses with one or more employees are required by law to carry workers' compensation insurance. Some workers, including sole proprietors, certain members of a limited liability company (LLC) and certain partners of a limited liability partnership (LLP), are exempt from mandatory coverage but can choose to include themselves in a policy.
Employers have the option to self-insure provided they meet the set requirements and get approved by the Department of Commerce. In this case, the employer manages their workers‘ compensation claims directly and covers the costs.
Employers that do not carry workers' compensation insurance risk facing penalties from the Minnesota Department of Labor and Industry (DLI).
Failure by an employer to provide workers' compensation insurance to employees can result in penalties from the Department of Labor and Industry (DLI) including:
Workers' compensation insurance is purchased by the employer, who is the policyholder, to cover medical expenses incurred by employees who suffer injuries or illnesses on the job. Covered injuries include those that occur at the workplace, on a work assignment or in transit between different work sites.
The benefits of workers' comp insurance also include lost wages, which are paid to the employee in case they are unable to work as a result of their work-related injuries, and disability benefits for those that become permanently disabled.
Workers' comp insurance also covers the cost of any potential legal claims that may be filed by the injured employee against the business.
The Department of Labor and Industry's Workers' Compensation Division oversees workers' compensation in Minnesota.
If you are injured at the workplace, you should report it to your employer orally or in writing. Seek treatment for your injury or illness and notify your medical provider that this is a work-related injury so that they can send the medical reports and bills to your employer's insurance carrier.
If the claim is approved, you will receive benefits, which can include medical expense reimbursement, lost wages and disability benefits, depending on the severity of your injuries.
MoneyGeek answered commonly asked questions about workers' comp insurance in Minnesota to help you learn more.
Thimble is the best provider of workers' compensation insurance in Minnesota with an average monthly cost of $116 per month. Thimble has a quick online quote process and a strong financial stability rating.
Factors like state requirements, employee count and industry may impact which provider is best for you.
Thimble offers the cheapest rates for workers' compensation insurance in Minnesota at an average of $116 per month. Rates can vary based on individual factors like your location, employee count and annual payroll costs.
Minnesota requires all businesses with one or more employees to carry workers' compensation insurance. However, sole proprietors, certain members of a limited liability company (LLC) and certain partners of a limited liability partnership (LLP) are exempt.
The average cost of workers' compensation insurance in Minnesota is $135 per month. Rates vary depending on employee count and payroll costs.
About Melissa Wylie
Melissa Wylie is the Content and SEO Manager at MoneyGeek, with nearly a decade of editorial experience and six years of work in financial content focused on small businesses. She previously held SEO positions at Bankrate and LendingTree, with bylines on ValuePenguin and MagnifyMoney.
Wylie has a journalism degree from the University of North Texas. Her strong foundation in journalism helps her craft content that simplifies complex financial topics to help everyone feel confident when making decisions with their money.
