Best Workers'CompensationNew MexicoBest Workers' Compensation Insurance in New Mexico (2023)
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MoneyGeek found the best insurance provider for workers’ compensation insurance in New Mexico by assessing various companies based on financial stability, cost, customer satisfaction and the time it takes to get an online quote. Based on our criteria, Pie offers the best workers’ comp in the state.
Workers’ compensation can significantly benefit small businesses by helping them meet the state’s requirements and avoiding the liability of employee medical bills and other expenses in case of a workplace injury or illness.
Best Workers'CompensationNew MexicoBest Workers’ Compensation Insurance in New Mexico
Best Workers’ Compensation Insurance in New Mexico
Pie offers the best workers' compensation insurance in New Mexico, scoring 92 out of 100. The company's average monthly cost is $110, which might differ depending on your business.
How was this MoneyGeek score calculated?
1
PieBest Overall in New Mexico
Score:92
- Monthly average cost of $110
- Takes only 29 seconds to get a quote
More About Pie
Pie is a workers’ compensation insurance provider that caters to small businesses. The company is the most affordable option in New Mexico, charging an average of $110 monthly. You can get an online quote from this insurer in only 29 seconds. However, Pie has a higher-than-average rate of complaints and an A- AM Best rating, indicating it’s not as financially sound as most of its competitors.
2
The Hartford
Score:90
- 204 average monthly cost
- Takes around a minute to get a quote
- Exceptional customer service
- A+ financial stability rating
More About The Hartford
The Hartford has offered business and other types of insurance for over two centuries. It has an exceptional customer service record, with a low average rate of complaints. The company gets an A+ financial stability rating from AM Best, which means it can easily settle your claims. Getting an online quote from this takes around a minute. However, the company charges $204 for workers’ compensation insurance, which is not the cheapest in New Mexico.
3
biBERK
Score:90
- Average monthly cost of $206
- A++ financial stability rating from AM Best
- Good customer satisfaction record
More About biBERK
Supported by the Berkshire Hathaway group, biBERK offers insurance to small businesses. The company charges an average of $206 per month for workers’ compensation insurance, placing it among New Mexico’s more expensive options. However, it’s financially stable and only takes a minute and 28 seconds to provide an online quote. The company also has a low average rate of complaints, indicating it offers exemplary service.
4
Nationwide
Score:89
- $222 average monthly insurance cost
- A+ financial stability rating by AM Best
More About Nationwide
Nationwide has offered insurance and other financial products for over 90 years. It has an A+ AM Best financial stability rating, which shows the company is financially able to pay off its obligations. The company offers good customer service, evidenced by a low rate of complaints. It takes around three minutes to get an online quote from Nationwide, longer than its competitors.
5
Next
Score:88
- Average monthly insurance cost of $236
- Fast online quotes process
- Low average rate of complaints
More About Next
Next provides various insurance products to small businesses and offers fast claims resolution, often under 48 hours. MoneyGeek found its online quote process to quick, as the company takes around a minute to give you an estimate. You’ll get exceptional customer service from the company, as it receives less than the average number of complaints for this industry. However, its rates are higher than other insurers in New Mexico, and the company doesn’t have high financial stability ratings.
6
Thimble
Score:86
- $205 average monthly cost
- A+ AM Best financial stability rating
- Takes a few seconds to offer an online quote
More About Thimble
Thimble offers flexible insurance policies to hundreds of different types of small businesses. It has an A+ financial stability rating from AM Best, which indicates it is well able to pay claims. In addition, customers can obtain an online quote in just 33 seconds. However, the company has a high average rate of complaints, which shows it might not offer the best customer service.
Cheapest Workers’ Compensation Insurance in New Mexico
Pie offers the cheapest workers’ comp insurance in New Mexico, with an average monthly cost of $110. It is the most affordable company for businesses with 20 employees and $1,250,000 in annual payroll costs. The number of employees and payroll significantly impacts workers’ comp insurance costs.
Pie
We assessed various insurance companies based on affordability and found out that Pie is the ideal provider for those looking to keep costs low. The company charges an average of $110 per month for workers’ comp insurance, the most affordable rate in New Mexico. The company also stands out for having one of the fastest online quote processes, providing quotes in only 29 seconds.
MoneyGeek analyzed insurers based on their monthly insurance costs to find the most affordable option, but the cheapest option for you might differ [depending on other factors]. (#factors-that-impact-workers-comp).
The table below shows the annual and monthly insurance costs for a business with 20 employees for all the insurers included in our analysis.
Best Workers’ Compensation Insurance for Micro Businesses in New Mexico
The best workers’ compensation insurance company in New Mexico for businesses with five employees is Pie, which offers insurance at an average monthly cost of $39. But know that this cost is based on an annual payroll of $312,500.
Your company is a micro business if it has one to nine employees. Although employee count affects costs, payroll has an even more significant impact.
Pie
Pie is the best insurance provider for micro-businesses looking for workers’ compensation insurance in New Mexico. The company charges $39 per month to provide insurance to businesses with five employees, the lowest among other insurers. It also takes a few seconds to get an online quote with this company, as it has a convenient online quote process. However, you might have to deal with subpar customer service as it has a high average rate of complaints.
Best Workers’ Compensation Insurance for Midsize Businesses in New Mexico
Pie has the best workers’ compensation insurance in New Mexico for companies with 100 employees at $489 per month. This cost is for an annual payroll of $6,250,000. The number of employees in your business generally affects insurance costs, but payroll typically has an even greater effect.
Pie
MoneyGeek picked Pie as the best workers’ compensation insurance provider for midsize companies in New Mexico. The company offers the most affordable rates, charging an average of $489 monthly. It also provides quick online quotes in only 29 seconds. But the company does not have a top financial stability rating from AM Best, which indicates it might not settle claims quickly.
How Much Is Workers’ Compensation Insurance in New Mexico?
On average, insurers charge New Mexico businesses with 20 employees $197 per month for workers' compensation insurance. The state's average cost is higher than the national average of $168 per month.
We set the following policy limits for our analysis:
- $1 million total policy limit
- $1 million per accident limit
- $1 million per employee limit
With such a policy, the insurer will pay up to $1 million per employee and a maximum of $1 million per accident, up to the maximum policy limit of $1 million.
A company's employee count and payroll significantly affect the cost of its workers' compensation insurance. The table below lists the average costs for a company with 5, 20 and 100 employees.
How was this cost calculated?
Factors That Impact Workers’ Compensation Costs in New Mexico
The cost of workers’ compensation insurance in New Mexico differs for every business based on several factors, as outlined below.
Payroll costs
Insurers generally price workers’ comp for every $100 of payroll. In New Mexico, the average premium index rate is $1.27 per $100 of payroll — lower than most states. Companies with high payroll costs typically pay higher premiums.
Number of employees
The risk of employee injury increases with the number of employees, so businesses with a higher employee count pay higher rates.
Employee class code
An employee’s class code indicates the kind of work they perform. It determines how much you’ll pay for every $100 of payroll. Insurance for employees working in riskier industries, like construction, is generally more expensive than those in low-risk industries, like consulting.
Previous claims
Insurers will generally quote you higher rates if your business has previously filed claims.
Based on data from the U.S. Bureau of Labor Statistics (BLS), there were 13.5 thousand nonfatal workplace illnesses and injuries in 2021 at businesses based in the private sector in New Mexico. BLS data also shows more than 2 million nonfatal private-industry workplace injuries and illnesses in 2021 across the U.S.
Do You Need Workers’ Compensation Insurance in New Mexico?
New Mexico law requires businesses with three or more employees to have workers' compensation insurance. However, domestic servants, real estate salespeople, federal employees covered by Federal Employees' Compensation Act and sole proprietors or executive employees are exempt.
Even if you are exempt, purchasing workers' compensation insurance is wise. It will protect you against the cost of employee workplace injuries and litigation.
WORKERS’ COMP PENALTIES IN NEW MEXICO
New Mexico businesses that don’t carry workers’ comp insurance when it’s required can face the following consequences:
- Financial penalties
- Misdemeanor charges
- Felony charges
- Jail time
What Does Workers’ Compensation Insurance Cover in New Mexico?
While workers’ compensation insurance in New Mexico benefits employers and employees, the employer is the policyholder.
Workers’ compensation insurance protects your and your employees against medical costs after a work injury. The insurance can also provide income replacement, death benefits and vocational rehabilitation, depending on the nature of the injury and other factors.
Workers’ Compensation Insurance Resources for Employees in New Mexico
The Workers’ Compensation Administration in New Mexico can help employees understand essential information and file insurance claims.
An employee must let their employer know of an injury within 15 days. They can either fill out a Notice of Accident (NOA) Form or inform the employer in writing. Employees can generally find the NOA forms at their worksite.
Frequently Asked Questions About Workers’ Compensation Insurance in New Mexico
MoneyGeek analyzed the following frequently asked questions to help you understand how workers’ compensation insurance works in New Mexico.
About Melissa Wylie
sources
- biBERK. "About biBERK." Accessed May 25, 2023.
- Nationwide. "About Us." Accessed May 25, 2023.
- Pie Insurance. "Timeline." Accessed May 25, 2023.
- The Hartford. "Our History." Accessed May 25, 2023.
- Thimble. "About Us." 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.
- Workers Compensation Administration. "Claims Process." Accessed May 25, 2023.
- Workers Compensation Administration. "Determining Insurance Coverage." Accessed May 25, 2023.