Best Workers'CompensationVirginiaMoneyGeek found the best workers’ compensation insurance in Virginia by looking into each provider’s affordability, customer satisfaction, financial stability and online quote process. Based on these factors, The Hartford is our top pick in Virginia.
Workers' comp insurance is required for small businesses in Virginia. It can help reduce financial losses due to an employee's work-related injury or illness. With this, employers have a safety net against potential financial and legal liabilities.
Best Workers'CompensationVirginiaBest Workers’ Compensation Insurance in Virginia
Best Overall in Virginia - The Hartford
Cheapest in Virginia - Pie
Best for Micro Businesses - The Hartford
Best for Midsize Businesses - The Hartford
Best Workers’ Compensation Insurance in Virginia
We found that The Hartford is the overall best workers’ compensation insurance provider in Virginia, receiving a MoneyGeek score of 96 out of 100. It outranked the five other insurers in our study thanks to its solid customer satisfaction and financial stability ratings. An average policy from The Hartford costs $115 per month, but your rates may vary depending on your specific business needs.
How was this MoneyGeek score calculated?
1
The HartfordBest Overall in Virginia
Score:96
- Average monthly cost of $115
- Exceptional customer satisfaction record
- A+ (Superior) rating from AM Best
More About The Hartford
The Hartford was founded in 1810 as a fire insurance company and has since expanded its offerings to include a range of other insurance products. Among the six insurers analyzed in our study, it stands out with the lowest rate of customer complaints. Additionally, The Hartford boasts an impressive A+ financial stability rating from AM Best, highlighting its strong financial capacity to fulfill obligations. Although it is not the cheapest option in Virginia, its policies are still more affordable than other providers at $115 per month. Getting a quote online from The Hartford is easy and takes less than a minute and a half, faster than most competitors.
2
biBERK
Score:93
- Costs an average of $138 per month
- A++ (Superior) rating from AM Best
- Great customer service quality
More About biBERK
Founded in 2015, biBERK is a small business insurance company backed by the Berkshire Hathaway Insurance Group. It has an A++ (Superior) rating from AM Best, the highest a company can receive. This means biBERK is an insurer you can trust when it comes to handling insurance claims. Additionally, the company receives a low rate of customer complaints, indicating its quality service. It’s worth noting, however, that biBERK is more expensive than most competitors, charging around $138 per month. Those interested in purchasing a policy can get a quote online from biBERK in less than a minute and a half.
3
Thimble
Score:93
- Monthly premiums average $105
- Fast online quote system
- A- financial stability rating from AM Best
More About Thimble
With the second lowest rates averaging $105 per month, Thimble is our third choice for the best worker's compensation insurance provider in Virginia. It also has an A- (Excellent) financial stability rating from AM Best, so you won't have to worry about its ability to meet ongoing financial obligations. That said, it receives a high volume of customer complaints, according to the National Association of Insurance Commissioners (NAIC) complaint index. Still, interested business owners may get a quote online from this company in less than a minute. Thimble was established in 2016 and originally called "Verifly."
4
Next
Score:92
- Coverage costs $130 per month
- Exceptional customer satisfaction record
- Fast online quote system
More About Next
Next Insurance has been providing insurance products to small businesses since 2015. It receives few customer complaints and consistently meets its policyholder's expectations. Next also holds an A- financial stability rating from AM Best, denoting its strong financial standing. While its rating may be lower compared to those of other insurers in our comparison, Next is still financially sound and able to meet many of its obligations. With Next Insurance, an average workers' comp policy costs $130 per month in Virginia. Getting an online quote from this company takes about a minute and a half.
5
Pie
Score:92
- Premiums cost $90 per month on average
- Quote process takes less than a minute
More About Pie
Pie Insurance started providing workers’ compensation insurance coverage in 2017. At an average rate of $90 per month, it is the most affordable insurer for small business owners in Virginia. Plus, getting a quote online takes less than a minute. Regarding financial stability, Pie Insurance has an A- rating from AM Best, indicating its excellent ability to pay claims. The company receives the highest number of customer complaints — an important factor to consider if you value high-quality service.
6
Nationwide
Score:87
- Monthly premiums average $191
- A+ (Superior) rating from AM Best
- High customer satisfaction rating
More About Nationwide
Formerly known as Farm Bureau Mutual Automobile Insurance Company, Nationwide started offering insurance across the country in 1925. With an A+ rating from AM Best, policyholders can have confidence that Nationwide has a strong financial foundation and will fulfill its claims obligations. Additionally, the company's low amount of customer complaints is a testament to its commitment to providing quality service. That said, Nationwide is the most expensive insurer in Virginia for workers' comp, with policies averaging $191 per month. Getting an online quote also takes around three minutes, making the process inconvenient for those in a hurry.
Cheapest Workers’ Compensation Insurance in Virginia
If your primary consideration is a policy's cost, Pie Insurance is the most affordable company for workers' comp insurance in Virginia. An average policy from this insurer costs $90 per month.
How much you pay for insurance depends on your business' employee count and payroll. Our top pick in this category is the most affordable option for businesses with 20 employees and $1,250,000 in annual payroll costs.
Pie
Pie Insurance is our winner for the cheapest workers' comp insurance provider in Virginia, with monthly average premiums of $90 per month of $1,075 per year. This company is ideal for small business owners who are just starting out and need affordable coverage. While Pie Insurance has excellent financial strength and the ability to pay out claims, it doesn't always meet its customer's expectations, considering its higher rate of complaints.
Below, we ranked insurance providers based on their average monthly rates to find the cheapest option. Note that your insurance costs may vary depending on other factors.
Best Workers’ Compensation Insurance for Micro Businesses in Virginia
The Hartford provides the best workers' comp insurance for businesses with five employees in Virginia, costing approximately $53 per month.
Businesses with fewer than 10 employees are generally considered micro businesses. For this category, we gathered quotes for companies with five employees and annual payroll costs of $312,500. Although the number of employees does impact insurance premiums, the payroll amount is a more significant factor in determining insurance costs.
The Hartford
Micro businesses in Virginia can find the best workers’ comp insurance from The Hartford. Its policies cost an average of $53 per month or $630 per year for businesses with five employees and annual payroll costs of $312,500. This rate is higher than some competitors, but receiving excellent customer service may be worth the more expensive premiums.
Best Workers’ Compensation Insurance for Midsize Businesses in Virginia
With rates averaging $396 per month, The Hartford is the best provider of workers' comp insurance for midsized businesses in Virginia.
Aside from employee count, payroll significantly impacts the cost of workers' comp insurance. We selected our winner in this category by collecting and analyzing quotes for a company with 100 employees and an annual payroll amount of $6,250,000.
The Hartford
The Hartford outranks other insurers in our study for the best workers’ comp insurance in Virginia for medium-sized businesses. On average, businesses with 100 employees and annual payroll costs of $6,250,000 can expect to pay $396 per month or $4,755 per year for coverage. While The Hartford may have higher rates than other insurers, its service quality and reputation may justify the cost.
How Much Is Workers’ Compensation Insurance in Virginia?
Workers’ compensation insurance in Virginia costs an average of $128 per month for businesses with 20 employees, which is $40 less than the national average of $168 per month. We used a sample policy with the following limits:
- $1 million total policy limit
- $1 million per accident limit
- $1 million per employee limit
This means the policy will cover up to $1 million per accident and $1 million per employee, for a total policy limit of $1 million.
Employee count and payroll are two main factors that affect workers’ comp insurance costs. See below how the average cost of a policy in Virginia varies by employee count.
How was this cost calculated?
Factors That Impact Workers’ Compensation Costs in Virginia
The cost of workers’ compensation insurance can vary greatly per business depending on various factors. These include payroll, employee count, employee class code and claims history.
Payroll costs
Businesses are typically charged a rate for every $100 payroll. This rate is set at the state level and varies by industry. Companies with high payroll expenses tend to pay a higher premium than those with lower payroll costs. In 2022, Virginia charged an average of $1.01 per $100 of payroll, slightly lower than other states.
Number of employees
The number of employees a business has significantly affects the cost of workers’ comp insurance. Businesses with large employee counts often face a higher risk of employee injury, which increases insurance premiums.
Employee class code
Insurance providers use employee class codes to determine the type of work employees perform and estimate rates charged for every $100 of payroll. Businesses in industries with higher injury risks, such as construction, tend to have higher rates than those in low-risk industries, like consulting.
Previous claims
Insurance companies usually look into previous claims when determining rates. Businesses with a history of workers’ compensation claims are often considered riskier to insure.
According to the U.S. Bureau of Labor Statistics (BLS), Virginia recorded 54,400 nonfatal workplace illnesses and injuries at private-industry businesses in 2021, the most recent year available. The BLS recorded over 2 million nonfatal private-industry workplace injuries and illnesses at the national level in 2021.
Do You Need Workers’ Compensation Insurance in Virginia?
In Virginia, workers' compensation insurance is required for businesses with two or more employees, whether part-time or full-time.
Because executive officers and limited liability company (LLC) managers are considered employees under Virginia law, they are also required to obtain insurance. However, they can “reject” coverage if their businesses have valid coverage. The officer or manager must also submit a Rejection of Coverage form with the Commission for approval and file a copy with their insurance provider.
Only sole proprietors with no employees are not required to obtain insurance. It’s worth noting that Virginia doesn’t provide an exemption or waiver form for employers who are not required to carry coverage.
WORKERS’ COMP PENALTIES IN VIRGINIA
Virginia employers who fail to obtain workers’ compensation insurance are subject to a civil penalty of up to $250 per day for each day of noncompliance, for a maximum civil penalty of $50,000.
What Does Workers’ Compensation Insurance Cover in Virginia?
Generally, workers' compensation insurance provides benefits to employees who sustain injuries or contract illnesses in the workplace.
In Virginia, it helps pay for the medical costs of employees who suffer a work-related injury or illness. It also covers certain illnesses and occupational diseases caused by an employee’s working conditions. Additionally, workers’ compensation insurance covers disability payments, wage loss and even death benefits if an employee loses their life in a workplace incident.
For employers who obtain coverage, workers’ comp insurance helps reduce the risk of a financial loss if something happens to your employees while performing their regular work duties. It also reduces the risk of being sued by employees or their families for workplace injury or death.
Workers’ Compensation Insurance Resources for Employees in Virginia
Virginia employees can find workers’ compensation insurance resources through the Virginia Workers’ Compensation Commission.
Those with on-the-job injuries or diseases who are eligible for workers' comp benefits under the Virginia Workers' Compensation Act must report the injury or illness to their employer as soon as possible but no later than 30 days from the date of the accident or diagnosis. They must also file a claim with the Commission in person or by mail, fax or Webfile.
Frequently Asked Questions About Workers’ Compensation Insurance in Virginia
We answered some frequently asked questions about workers’ compensation insurance in Virginia to provide you with valuable insights and information.
About Melissa Wylie
sources
- biBERK. "About biBERK." Accessed May 24, 2023.
- Nationwide. "About Us." Accessed May 24, 2023.
- Pie Insurance. "How Does Workers’ Comp Benefit Employers?." Accessed June 20, 2023.
- Pie Insurance. "Timeline." Accessed May 24, 2023.
- The Hartford. "Our History." Accessed May 24, 2023.
- The Hartford. "Virginia Workers' Compensation." Accessed June 20, 2023.
- Thimble. "Thimble Makes Insurance Simple." Accessed May 24, 2023.
- U.S. Bureau of Labor Statistics. "Injuries, Illnesses and Fatalities: Latest Numbers." Accessed June 20, 2023.
- VWC. "Frequently Asked Insurance Questions for Employers." Accessed May 25, 2023.
- VWC. "Injured Workers." Accessed May 25, 2023.