Workers' comp rates in South Carolina depend on your industry and employee count. Get answers to common coverage questions below.
Best Workers' Comp Insurance in South Carolina
With rates starting at $6 monthly, ERGO NEXT, The Hartford and Simply Business offer the cheapest and best workers' comp insurance in South Carolina.
Get matched to top South Carolina workers’ comp insurance providers and find your ideal coverage.
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Updated: January 30, 2026
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Best South Carolina Workers' Comp Insurance: Fast Answers
What are the best and cheapest workers' comp insurance providers in South Carolina?
ERGO NEXT offers the top cheap workers' compensation insurance in South Carolina. The following are the state's cheapest and best workers' comp insurance providers and their average monthly rates:
- ERGO NEXT: $71
- The Hartford: $71
- Simply Business: $73
- Progressive: $73
- Coverdash: $75
Is workers' comp insurance required in South Carolina?
South Carolina mandates workers' comp insurance for businesses with four or more employees, whether full-time or part-time. Sole proprietors, partners and companies with fewer than four workers are exempt. Noncompliant employers pay penalties, including fines up to $1,000 plus $100 daily until coverage begins, and potential criminal misdemeanor charges.
How much does workers' comp insurance cost in South Carolina?
Workers' compensation insurance costs in South Carolina run $38 monthly per employee for small businesses. Costs differ based on your industry and payroll size. Low-risk businesses like ad agencies pay around $8 per employee monthly, while high-risk industries such as window cleaning can cost $108 per employee each month.
How do you get workers' comp insurance in South Carolina?
You can get workers' comp coverage in South Carolina by:
- Purchasing coverage from private insurance companies licensed in the state
- Buying through the South Carolina State Accident Fund for competitive rates
- Qualifying for self-insurance if your business meets strict financial requirements
Many business owners compare quotes online or through brokers to get the best rate and compliance support.
What does South Carolina workers' comp insurance cover?
Workers' compensation in South Carolina covers:
- Medical expenses for work-related injuries and occupational illnesses
- Wage replacement benefits during recovery periods
- Permanent disability compensation for lasting impairments
- Death benefits for families of workers killed on the job
Best Workers' Comp Insurance Companies in South Carolina
ERGO NEXT leads our rankings for workers' comp insurance in South Carolina with excellent customer support and broad coverage options. The Hartford and Simply Business round out the top three, both providing strong alternatives for South Carolina small business owners.
| ERGO NEXT | 4.61 | $71 | 1 | 2 |
| The Hartford | 4.55 | $71 | 2 | 3 |
| Simply Business | 4.53 | $73 | 5 | 1 |
| Coverdash | 4.46 | $75 | 6 | 2 |
| biBERK | 4.44 | $77 | 2 | 5 |
| Nationwide | 4.43 | $84 | 2 | 4 |
| Progressive Commercial | 4.40 | $73 | 7 | 5 |
| Hiscox | 4.38 | $74 | 4 | 6 |
| Thimble | 4.35 | $73 | 8 | 5 |
| Chubb | 4.28 | $87 | 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 South Carolina
Select your industry and state to get a customized South Carolina workers' comp quote from your top provider match.
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LEARN MORE ABOUT THE BEST BUSINESS INSURANCE IN SOUTH CAROLINA
Find the best business insurance providers in South Carolina in our guides:
Best South Carolina Workers’ Comp Insurance Company Reviews
Review our top picks for workers' comp insurance in South Carolina:
ERGO NEXT
Best Workers' Comp Insurance in South Carolina
MoneyGeek Rating
4.6/ 5
4.4/5Affordability
4.7/5Customer Experience
4.8/5Coverage Points
Average Monthly Workers' Comp Premium
$71Based on average costs across South Carolina businessesWorkers' Comp Digital Experience Score
4.8/5 (1st)Rating based on MoneyGeek's customer satisfaction surveyWorkers' Comp Customer Likelihood to Be Recommended to Others Score
4.8/5 (1st)Percentage of customers who would recommend ERGO NEXT
The Hartford
Best South Carolina Workers' Comp Insurance: Runner-Up
MoneyGeek Rating
4.5/ 5
4.4/5Affordability
4.6/5Customer Experience
4.7/5Coverage Points
Average Monthly Workers' Comp Premium
$71Based on average costs across business types and coverage levelsWorkers' Comp Claims Process Score
4.5/5 (1st)Rating from MoneyGeek's customer satisfaction surveyWorkers' Comp Customer Likelihood to Be Recommended to Others Score
4.5/5 (2nd)Percentage of customers who would recommend The Hartford
Cheapest Workers' Comp Insurance Companies in South Carolina
ERGO NEXT and The Hartford tie for the most affordable workers' comp insurance in South Carolina at $71 per month or $849-$851 per year. Business owners save $5 monthly compared to the state's average rate of $76, putting 7% more money back in budgets.
Simply Business rounds out the top three most affordable options at $73 per month.
| ERGO NEXT | $71 | $849 |
| The Hartford | $71 | $851 |
| Simply Business | $73 | $872 |
| Thimble | $73 | $875 |
| Progressive Commercial | $73 | $880 |
| Hiscox | $74 | $888 |
| Coverdash | $75 | $899 |
| biBERK | $77 | $924 |
| Nationwide | $84 | $1,004 |
| Chubb | $87 | $1,047 |
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 South Carolina by Industry
The Hartford offers the cheapest workers' comp rates across 27 industries in South Carolina, with low rates for ad agencies ($15 monthly), dental practices ($11 monthly) and automotive businesses ($112 monthly).
| Accountants | Thimble | $20 | $236 |
| Ad Agency | The Hartford | $15 | $179 |
| Automotive | The Hartford | $112 | $1,344 |
| Auto Repair | ERGO NEXT | $143 | $1,717 |
| Bakery | ERGO NEXT | $51 | $607 |
| Barber | The Hartford | $13 | $155 |
| Beauty Salon | ERGO NEXT | $14 | $166 |
| Bounce House | The Hartford | $38 | $453 |
| Candle | The Hartford | $37 | $447 |
| Cannabis | Hiscox | $85 | $1,022 |
| Catering | Nationwide | $84 | $1,004 |
| Cleaning | The Hartford | $46 | $555 |
| Coffee Shop | Thimble | $45 | $536 |
| Computer Programming | Thimble | $27 | $320 |
| Computer Repair | Thimble | $23 | $273 |
| Construction | ERGO NEXT | $171 | $2,047 |
| Consulting | ERGO NEXT | $29 | $342 |
| Contractor | Simply Business | $158 | $1,891 |
| Courier | The Hartford | $212 | $2,539 |
| Daycare | ERGO NEXT | $13 | $154 |
| Dental | The Hartford | $11 | $129 |
| Dental | ERGO NEXT | $11 | $129 |
| DJ | ERGO NEXT | $13 | $157 |
| Dog Grooming | Simply Business | $61 | $735 |
| Drone | ERGO NEXT | $26 | $309 |
| Ecommerce | The Hartford | $21 | $250 |
| Electrical | Progressive Commercial | $54 | $649 |
| Engineering | The Hartford | $36 | $436 |
| Excavation | Simply Business | $103 | $1,231 |
| Florist | The Hartford | $59 | $707 |
| Food | Thimble | $40 | $477 |
| Food Truck | Simply Business | $44 | $527 |
| Funeral Home | The Hartford | $26 | $310 |
| Gardening | ERGO NEXT | $44 | $523 |
| Handyman | ERGO NEXT | $88 | $1,061 |
| Home-based | The Hartford | $10 | $116 |
| Hospitality | Thimble | $68 | $813 |
| HVAC | ERGO NEXT | $60 | $717 |
| Janitorial | The Hartford | $46 | $550 |
| Jewelry | The Hartford | $28 | $339 |
| Junk Removal | ERGO NEXT | $133 | $1,595 |
| Lawn/Landscaping | The Hartford | $36 | $437 |
| Lawyers | ERGO NEXT | $51 | $608 |
| Manufacturing | ERGO NEXT | $58 | $691 |
| Marine | ERGO NEXT | $141 | $1,687 |
| Massage | The Hartford | $14 | $168 |
| Mortgage Broker | The Hartford | $13 | $160 |
| Moving | ERGO NEXT | $249 | $2,994 |
| Nonprofit | The Hartford | $30 | $365 |
| Painting | Simply Business | $135 | $1,615 |
| Party Rental | Simply Business | $35 | $417 |
| Personal Training | Progressive Commercial | $24 | $286 |
| Pest Control | Chubb | $83 | $1,000 |
| Pet | ERGO NEXT | $29 | $352 |
| Pharmacy | ERGO NEXT | $6 | $72 |
| Photography | ERGO NEXT | $16 | $192 |
| Physical Therapy | The Hartford | $6 | $77 |
| Physical Therapy | ERGO NEXT | $6 | $77 |
| Plumbing | The Hartford | $61 | $736 |
| Pressure Washing | Coverdash | $84 | $1,012 |
| Real Estate | The Hartford | $29 | $343 |
| Restaurant | Thimble | $61 | $729 |
| Retail | ERGO NEXT | $33 | $400 |
| Roofing | Thimble | $838 | $10,060 |
| Security | Progressive Commercial | $49 | $591 |
| Snack Bars | Simply Business | $42 | $503 |
| Software | Progressive Commercial | $26 | $308 |
| Spa/Wellness | ERGO NEXT | $17 | $203 |
| Speech Therapist | The Hartford | $6 | $68 |
| Startup | The Hartford | $13 | $151 |
| Tech/IT | The Hartford | $25 | $305 |
| Transportation | The Hartford | $214 | $2,565 |
| Travel | Chubb | $8 | $100 |
| Tree Service | ERGO NEXT | $209 | $2,513 |
| Trucking | ERGO NEXT | $250 | $2,997 |
| Tutoring | Simply Business | $9 | $113 |
| Veterinary | The Hartford | $19 | $222 |
| Wedding Planning | ERGO NEXT | $27 | $321 |
| Welding | ERGO NEXT | $111 | $1,328 |
| Wholesale | Thimble | $38 | $460 |
| Window Cleaning | ERGO NEXT | $199 | $2,384 |
How Much Is Workers' Comp Insurance in South Carolina?
South Carolina workers' comp insurance cost averages $76 monthly ($909 annually), slightly above the national average of $74. Industry rates vary from $6 monthly ($3 per employee) for speech therapists to $871 monthly ($436 per employee) for roofers.
| Accountants | $21 | $253 |
| Ad Agency | $16 | $195 |
| Auto Repair | $156 | $1,874 |
| Automotive | $121 | $1,449 |
| Bakery | $55 | $657 |
| Barber | $14 | $173 |
| Beauty Salon | $15 | $180 |
| Bounce House | $41 | $496 |
| Candle | $41 | $496 |
| Cannabis | $86 | $1,030 |
| Catering | $77 | $923 |
| Cleaning | $50 | $597 |
| Coffee Shop | $48 | $576 |
| Computer Programming | $29 | $348 |
| Computer Repair | $25 | $296 |
| Construction | $187 | $2,243 |
| Consulting | $31 | $372 |
| Contractor | $170 | $2,040 |
| Courier | $231 | $2,769 |
| DJ | $14 | $173 |
| Daycare | $14 | $165 |
| Dental | $11 | $137 |
| Dog Grooming | $66 | $795 |
| Drone | $28 | $333 |
| Ecommerce | $22 | $267 |
| Electrical | $59 | $705 |
| Engineering | $39 | $467 |
| Excavation | $111 | $1,328 |
| Florist | $63 | $757 |
| Food | $43 | $516 |
| Food Truck | $47 | $562 |
| Funeral Home | $28 | $333 |
| Gardening | $49 | $584 |
| HVAC | $65 | $777 |
| Handyman | $97 | $1,158 |
| Home-based | $10 | $124 |
| Hospitality | $72 | $866 |
| Janitorial | $50 | $600 |
| Jewelry | $31 | $372 |
| Junk Removal | $143 | $1,717 |
| Lawn/Landscaping | $39 | $465 |
| Lawyers | $54 | $649 |
| Manufacturing | $60 | $725 |
| Marine | $154 | $1,848 |
| Massage | $15 | $181 |
| Mortgage Broker | $14 | $171 |
| Moving | $269 | $3,230 |
| Nonprofit | $33 | $393 |
| Painting | $145 | $1,736 |
| Party Rental | $38 | $452 |
| Personal Training | $26 | $310 |
| Pest Control | $71 | $856 |
| Pet | $32 | $381 |
| Pharmacy | $7 | $79 |
| Photography | $18 | $210 |
| Physical Therapy | $7 | $84 |
| Plumbing | $66 | $795 |
| Pressure Washing | $86 | $1,027 |
| Real Estate | $31 | $369 |
| Restaurant | $65 | $782 |
| Retail | $36 | $428 |
| Roofing | $871 | $10,453 |
| Security | $53 | $639 |
| Snack Bars | $45 | $540 |
| Software | $27 | $326 |
| Spa/Wellness | $18 | $217 |
| Speech Therapist | $6 | $73 |
| Startup | $13 | $161 |
| Tech/IT | $28 | $336 |
| Transportation | $236 | $2,837 |
| Travel | $7 | $87 |
| Tree Service | $226 | $2,710 |
| Trucking | $275 | $3,299 |
| Tutoring | $10 | $122 |
| Veterinary | $20 | $241 |
| Wedding Planning | $29 | $353 |
| Welding | $121 | $1,450 |
| Wholesale | $41 | $495 |
| Window Cleaning | $215 | $2,586 |
South Carolina Workers' Comp Insurance Cost Factors
These cost factors affect workers' compensation insurance rates in South Carolina:
Second Injury Fund Closure
South Carolina closed its Second Injury Fund in 2013, ending the safety net that reimbursed employers when pre-existing conditions worsened workplace injuries. Your business now covers the full cost of claims involving workers with prior health issues or disabilities. This policy shift increased insurers' loss exposure and raised premiums, particularly for South Carolina small businesses hiring employees with previous medical conditions.
Commission-Controlled Fee Schedules
The South Carolina Workers' Compensation Commission sets medical reimbursement rates each year rather than letting providers charge market rates. The 2025 conversion factor of $52.00 for professional services caps what doctors can bill for treating injured workers. These commission-controlled fee schedules keep medical costs predictable, which helps your South Carolina business avoid the surprise premium increases common in states without fee schedule oversight.
Uninsured Employers Fund Lien Powers
South Carolina takes a tough stance on businesses operating without coverage. The state's Uninsured Employers Fund pays injured workers when their employers lack insurance, then places liens against business assets with the same priority as tax debts. These liens survive bankruptcy. Since 2008, the fund has paid tens of millions in claims, and aggressive enforcement keeps more South Carolina businesses compliant, strengthening the insurance market.
25% Schedule Rating Flexibility
South Carolina insurers can adjust base premiums by up to 25% based on safety records, management practices and workplace conditions. This schedule rating flexibility creates large price differences between carriers for the same South Carolina business. Strong safety programs and management can earn substantial discounts, while poor practices increase costs. Shopping multiple insurers is important due to this wide rating latitude.
Post-2010 Rate Stabilization
South Carolina workers' comp rates dropped 9.8% in 2010 and continued falling through 2014 as the state recovered from recession-era losses. Rates have since stabilized around 6% above the national average. Your South Carolina business benefits from this stability through predictable renewal costs, though premiums remain higher than neighboring states. Improved workplace safety and fewer claims helped create this more favorable rate environment.
Employer-Directed Medical Treatment
South Carolina law gives employers and insurers control over which doctors treat injured employees. This provider selection authority allows insurers to build networks of medical professionals who understand workers' comp protocols and control costs. Unlike states where injured workers choose their own doctors, South Carolina's employer-directed system reduces unnecessary treatments and medical expenses, moderating premium increases over time.
Limited Mental Injury Coverage
South Carolina restricts coverage for stress-related injuries and mental health claims unless workers prove "extraordinary and unusual" employment conditions caused the harm. Claims for workplace stress from normal job duties like performance reviews or schedule changes don't qualify for benefits. This strict standard reduces expensive psychiatric treatment claims and mental health litigation, keeping South Carolina workers' comp costs lower than states with broader mental injury coverage.
How Much Workers' Comp Insurance Do I Need in South Carolina?
South Carolina law mandates workers' compensation insurance if you employ four or more people (including part-time workers and family members) and have at least $3,000 in annual payroll. Required workers' compensation coverage in South Carolina has no dollar limits. Policies must cover full medical treatment, two-thirds of injured workers' wages up to $1,134.43 weekly, and permanent disability benefits ranging from weeks to a lifetime, depending on injury severity.
Coverage amounts scale with your payroll and industry risk. Insurers calculate premiums per $100 of payroll based on your classification code. Operating without coverage triggers the Uninsured Employers Fund, which places bankruptcy-proof liens against all business assets.
South Carolina Workers' Comp Insurance Exemptions
While most businesses need coverage in South Carolina, some categories are exempt from workers' comp requirements:
- Small businesses with three or fewer employees: South Carolina businesses with three or fewer employees don't need workers' comp coverage, whether employees work part-time or full-time.
- Annual payroll below $3,000: Businesses are exempt when total annual payroll stays under $3,000 during the previous calendar year, regardless of employee count.
- Agricultural operations: Farming businesses and their workers aren't covered under South Carolina's workers' comp requirements.
- State and county fair associations: These organizations operate without workers' comp coverage requirements.
- Commission-based real estate and agricultural sales agents: Real estate agents and agricultural salespeople who work on commission and meet specific state thresholds are exempt from coverage requirements.
- Owner-operator motor carriers: Trucking business owners who operate as independent contractors aren't required to carry workers' comp insurance.
- Business owners and partners: Sole proprietors, business partners and LLC members are automatically excluded from coverage but can add themselves to policies by contacting insurers.
- Corporate officers: Corporate officers automatically receive coverage under company policies, though they can opt out by filing the Corporate Officer's Notice to Reject form with insurers.
- Casual and irregular workers: Workers hired sporadically for tasks outside regular business operations don't require coverage.
- Self-employed business owners: Self-employed individuals without employees are exempt from workers' comp requirements but can purchase coverage for medical costs and lost income from work-related injuries.
FEDERAL WORKERS' COMP PROGRAMS OVERRIDE STATE REQUIREMENTS
Federal employees working at South Carolina's military bases, postal facilities and government offices receive coverage through the Federal Employees' Compensation Act instead of state workers' comp. Charleston's port workers fall under the Longshore and Harbor Workers' Compensation Act, while railroad employees use the Federal Employers' Liability Act. You don't need South Carolina workers' comp for federally covered positions, but other employees still require state coverage once you reach four workers.
How to Get the Best Workers' Comp Insurance in South Carolina
Here's how to get workers' comp insurance with the right provider at the best price.
- 1Determine if you need workers' comp coverage
Check whether exemptions apply to your business structure or employee types. A sole proprietor web designer operates without coverage, but adding one employee triggers the requirement. South Carolina counts part-time workers and family members toward the four-employee threshold, so nephews working weekends count. Misclassifying employees as independent contractors leaves businesses exposed when the state reviews employee status.
- 2Gather your business information
Businesses need accurate employee counts, annual payroll and NCCI classification codes for quotes. South Carolina uses the NCCI system to assign risk levels across hundreds of industry classifications. Wrong payroll figures or classification codes lead to audit adjustments or coverage gaps when filing claims. Construction businesses face close scrutiny since worker classifications have major impacts on premiums.
- 3Request workers' comp quotes from multiple carriers
Compare at least three insurers to understand business insurance costs in South Carolina. Carriers can apply policy credits and debits up to 25% on base rates, creating substantial price differences for identical classification codes. South Carolina rates run about 6% above the national average, making comparison shopping critical for controlling coverage costs.
- 4Research providers with industry experience
Focus on insurers who understand business risks rather than just offering low rates. Construction companies benefit from carriers experienced with high-risk industries, while retail businesses can work with general commercial insurers. Ask about insurer familiarity with South Carolina's claims process and Workers' Compensation Commission procedures.
- 5Evaluate your top provider options
Research each insurer's performance record to find the best business insurance:
- Review claim processing speed, customer service ratings and complaint records with the South Carolina Department of Insurance.
- Confirm the carrier's financial strength and track record handling South Carolina claims.
- Ask about return-to-work programs and safety consultation services insurers provide.
- Compare how carriers manage disputes through the South Carolina Workers' Compensation Commission.
- 6Review and purchase your workers' compensation policy
Read policy terms thoroughly, examining coverage limits, exclusions and renewal conditions. Select payment options matching cash flow needs, like pay-as-you-go workers' comp for seasonal operations or businesses with variable payroll. Corporate officers can file rejection forms to exclude themselves from coverage, which may reduce premiums.
- 7Reassess before annual renewal
Review business changes before renewal time. Examine employee count shifts, analyze filed claims and check experience modification rates. South Carolina uses NCCI to calculate EMR, which directly impacts premium costs. Adding employees or expanding into riskier services changes coverage requirements and expenses.
Best South Carolina Workers' Compensation Insurance: Bottom Line
ERGO NEXT and The Hartford tie for the most affordable workers' comp insurance in South Carolina at $71 monthly, with Simply Business close behind at $73. Compare quotes from all three insurers, review their service ratings and choose coverage that matches your business needs and budget.
About Mark Fitzpatrick
Mark Fitzpatrick, a Licensed Property and Casualty Insurance Producer, is MoneyGeek's resident Personal Finance Expert. He has analyzed the insurance market for over five years, conducting original research for insurance shoppers. His insights have been featured in 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
- National Council on Compensation Insurance. "Workers Compensation Class Codes." Accessed February 7, 2026.
- South Carolina Department of Insurance. "Workers' Compensation Insurance." Accessed February 7, 2026.
- South Carolina Legislature. "Code of Laws - Title 42 - Chapter 7 - Workers' Compensation." Accessed February 7, 2026.
- South Carolina Legislature. "Code of Laws - Title 42 - Chapter 9 - Workers' Compensation." Accessed February 7, 2026.
- South Carolina Workers' Compensation Commission. "Compensation Rates." Accessed February 7, 2026.
- South Carolina Workers' Compensation Commission. "Coverage and Compliance FAQs." Accessed February 7, 2026.
- South Carolina Workers' Compensation Commission. "Employer FAQ's." Accessed February 7, 2026.
- South Carolina Workers' Compensation Commission. "Medical Fee Schedules." Accessed February 7, 2026.
- State Accident Fund. "Uninsured Employers' Fund." Accessed February 7, 2026.