Workmans Comp Rules


We make it easier to navigate state workers' compensation requirements. Find your state fund or review the work comp rules in your state.

Got workers' comp questions? Give us a call at 888-611-7467, if you need help with work comp for your business.

Workers Compensation Requirements by State

What are the Rules of Workers Compensation?

Workers' Compensation rules are set at the state level. Rules will vary from state to state. Only federal employees fall under the federal program known as FECA- Federal Employees' Compensation Act. All states have similar rules for workers compensation insurance. Some key differences include owner exemption rules and when employers' become legally required to buy workers' comp.

The number of employees a business has will normally trigger the state requirements. The majority of states' rules require coverage between 1 employee and 5 employees. This can also vary between industries. Owner exemption rules are based on the entity status and the percentage of ownership in the business.

The United States has a long history of maintaining a separation of federal and state legal systems as long as State Statutes do not restrict the federal rights of U.S. citizens. Each state has its own legal system of state statutes and courts to determine legal matters such as:

  • Real estate and personal property
  • Divorce and Family Matters
  • Business agreement and contracts
  • Welfare and public assistance
  • Workers' compensation insurance

Business owners can review the state-by-state comparison of each states' workers' comp requirements as well as additional state resources and links each states' insurance department, workers' comp commission and state agencies responsible for workers compensation insurance.

State Resources & Links
Jump to your state below:
Alabama Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage NCCI
State Coverage Requirements Mandatory coverage for employers with 5 or more employees
Workers' Comp Exemptions Allowed
State Regulation Alabama Department of Insurance
Claims Administration AL Dept. of Industrial Relations
State Statutes Alabama Legal Code
Alaska Workers' Compensation Rules
Rating Authority NCCI
State Fund Fishermans Fund (commercial fishers only)
Assigned Risk Coverage NCCI
State Coverage Requirements Any business with one or more employees must carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Alaska Division of Workers' Compensation
Insurance Disputes Alaska Division of Insurance
State Statutes Alaska Legal Directory
Arizona Workers' Compensation Rules
Rating Authority NCCI
State Fund Arizona Workers Compensation Assigned Risk Plan
Assigned Risk Coverage NCCI
State Coverage Requirements Any business who hires one or more employees must buy workers comp even if the employee is part-time.
Workers' Comp Exemptions Allowed
State Regulation Arizona Department of Insurance
Claims Administration Industrial Commission of Arizona
State Statutes Arizona State Legislature
Arkansas Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage NCCI
State Coverage Requirements Mandatory coverage for employers with 3 or more employees
Workers' Comp Exemptions Allowed
State Regulation Arkansas Insurance Department
Claims Administration Arkansas Workers Compensation Commission
State Statutes Arkansas Legal Code
California Workers' Compensation Rules
Rating Authority Workers Compensation Insurance Rating Bureau of California
State Fund State Compensation Insurance Fund (SCIF)
Assigned Risk Coverage California State Fund (SCIF)
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation California Division of Workers Compensation
Claims Administration California Department of Industrial Relations, Division of Workers Compensation
State Statutes DWC Rules and Regulations
Colorado Workers' Compensation Rules
Rating Authority NCCI
State Fund None (Pinnacol Assurance now competes with private insurers
Assigned Risk Coverage Pinnacol Assurance
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Department of Labor and Employment
Claims Administration CO Division of Insurance
State Statutes Colorado Insurance Rules
Connecticut Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage NCCI
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Connecticut Insurance Department
Claims Administration Connecticut Workers' Compensation Commission
State Statutes Connecticut Workers Compensation Act
Delaware Workers' Compensation Rules
Rating Authority Delaware Compensation Rating Bureau (DCRB)
State Fund No State Fund
Assigned Risk Coverage Delaware Compensation Rating Bureau
State Coverage Requirements Mandatory coverage for all businesses that are private employers
Workers' Comp Exemptions Allowed
State Regulation Delaware Department of Insurance
Workers Comp Administration Office of Workers Compensation
State Statutes Delaware Workers Comp Legal Code
District of Columbia- Workers Comp Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage NCCI- Workers Compensation Reinsurance Plan
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation DC Department of Insurance
Claims Administration DC Office of Workers' Compensation
State Statutes DC Workers Compensation Code
Florida Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage FWCJUA
State Coverage Requirements Mandatory coverage for all private employers with 4 or more employees. All contractors with 1 or more employees are required to buy coverage.
Workers' Comp Exemptions Allowed
State Regulation Department of Financial Services
Claims Administration FL Division of Workers' Compensation
State Statutes Florida Workers' Comp Statutes
Georgia Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage NCCI (Georgia Workers Compensation Assigned Risk Plan)
State Coverage Requirements Mandatory coverage for all private employers with 3 or more employees
Workers' Comp Exemptions Allowed
State Regulation GA Insurance Commissioner
Claims Administration Georgia State Board of Workers' Compensation
State Statutes GA Workers Comp Statutes and Rules
Hawaii Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage Hawaii's Employers Mutual Insurance Company (HEMIC)
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Hawaii Insurance Division
Claims Administration Department of Labor & Industrial Relations (DLIR)
State Statutes HI Workers Compensation Code
Idaho Workers' Compensation Rules
Rating Authority NCCI
State Fund Idaho State Insurance Fund
Assigned Risk Coverage NCCI
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Idaho Department of Insurance
Claims Administration Idaho Industrial Commission
State Statutes Idaho Workers Comp Statutes
Illinois Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund- Operated by NCCI
Assigned Risk Coverage NCCI
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Illinois Department of Insurance
Claims Administration Illinois Workers Compensation Commission
State Statutes Illinois Workers Compensation Act
Indiana Workers' Compensation Rules
Rating Authority Indiana Compensation Rating Bureau
State Fund No State Fund
Assigned Risk Coverage Indiana Compensation Rating Bureau
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Indiana Department of Insurance
Claims Administration Workers Compensation Board of Indiana
State Statutes Indiana Workers Compensation Code
Iowa Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage NCCI
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Iowa Insurance Division
Claims Administration Iowa Division of Workers' Compensation
State Statutes Iowa Workers Comp Provisions
Kansas Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage NCCI
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Kansas Department of Insurance
Claims Administration Kansas Division of Workers' Compensation
State Statutes KS Workers Compensation Act
Kentucky Workers' Compensation Rules
Rating Authority Kentucky Employers' Mutual Insurance- Kemi
State Fund No State Fund
Assigned Risk Coverage KEMI
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Kentucky Department of Insurance
Claims Administration Department of Workers' Compensation Claims
State Statutes Kentucky Statutes and Regulations
Louisiana Workers' Compensation Rules
Rating Authority NCCI
State Fund Louisiana Workers Compensation Corporation (LWCC)
Assigned Risk Coverage LWCC
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Louisiana Department of Insurance
Claims Administration Office of Workers' Compensation Administration
State Statutes Louisiana Workers Comp Rules
Maine Workers' Compensation Rules
Rating Authority NCCI
State Fund Maine Employers Mutual Insurance Company (MEMIC)
Assigned Risk Coverage MEMIC
State Coverage Requirements Mandatory coverage for all business that are private employers
Workers' Comp Exemptions Allowed
State Regulation Maine Bureau of Insurance
Claims Administration Maine Workers Compensation Board
State Statutes Maine Workers Compensation Statutes
Maryland Workers' Compensation Rules
Rating Authority NCCI- Limited Utilization
State Fund Chesapeake Mutual
Assigned Risk Coverage Chesapeake Employers Insurance
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Maryland Insurance Administration
Claims Administration Maryland Workers' Compensation Commission
State Statutes Maryland Workers' Compensation Act
Massachusetts Workers' Compensation Rules
Rating Authority Workers Compensation Rating and Inspection Bureau
State Fund No State Fund
Assigned Risk Coverage WCRIBMA
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Massachusetts Division of Insurance
Claims Administration Massachusetts Division of Insurance
State Statutes Massachusetts Workers' Comp Act
Michigan Workers' Compensation Rules
Rating Authority Compensation Advisory Organization of Michigan (CAOM)
State Fund Competitive State Fund
Assigned Risk Coverage The Michigan Workers' Compensation Placement Facility (via CAOM)
State Coverage Requirements Mandatory coverage for all private employers with 3 or more employees
Workers' Comp Exemptions Allowed
State Regulation Michigan Department of Insurance & Financial Services
Claims Administration LARA Workers Compensation Agency
State Statutes Michigan Workers' Compensation Act
Minnesota Workers' Compensation Rules
Rating Authority Minnesota Workers Compensation Insurance Association (MWCIA)
State Fund No State Fund
Assigned Risk Coverage Minnesota Workers Compensation Insurance Association (MWCIA)
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Minnesota Dept. of Labor & Industry
Claims Administration Minnesota Dept. of Labor & Industry
State Statutes Minnesota Workers Comp Statutes
Mississippi Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage Compensation Insurance Services
State Coverage Requirements Mandatory coverage for all private employers with 5 or more employees
Workers' Comp Exemptions Allowed
State Regulation Mississippi Insurance Department
Claims Administration MS Workers' Compensation Commission
State Statutes MS Workers Compensation Rules
Missouri Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage Missouri Workers' Compensation Assigned Risk Pool- administered by Travelers Commercial Insurance Company
State Coverage Requirements Mandatory coverage for all private employers with 5 or more employees- Contractors required with 1 employee
Workers' Comp Exemptions Allowed
State Regulation Missouri Department of Insurance
Claims Administration Missouri Division of Workers' Compensation
State Statutes Missouri Workers Compensation Act
Montana Workers' Compensation Rules
Rating Authority NCCI
State Fund Montana State Fund
Assigned Risk Coverage Montana State Fund
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Workers' Compensation Regulation Bureau
Claims Administration Montana Dept. of Labor & Industry
State Statutes Montana Workers' Compensation Code
Nebraska Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage Nebraska WCIP- Administered by Travelers Insurance Company
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Nebraska Department of Insurance
Claims Administration Nebraska Workers' Compensation Court
State Statutes Nebraska Workers' Comp Statutes
Nevada Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage NCCI
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Nevada Division of Insurance
Claims Administration Nevada Department of Business & Industry
State Statutes Nevada Workers Comp Statutes
New Hampshire Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage NCCI
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation New Hampshire Dept. of Labor
Claims Administration New Hampshire Workers' Compensation Division
State Statutes New Hampshire Workers Comp Statutes
New Jersey Workers' Compensation Rules
Rating Authority New Jersey Compensation Rating and Inspection Bureau (NJCRIB)
State Fund No State Fund
Assigned Risk Coverage NJCRIB
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation New Jersey Department of Banking & Insurance
Claims Administration New Jersey Department of Labor and Workforce Development
State Statutes New Jersey Workers Compensation Act
New Mexico Workers' Compensation Rules
Rating Authority NCCI
State Fund New Mexico Mutual
Assigned Risk Coverage New Mexico Workers' Compensation Assigned Risk Plan- NCCI
State Coverage Requirements Mandatory coverage for all private employers with 3 or more employees
Workers' Comp Exemptions Allowed
State Regulation New Mexico Workers' Compensation Administration
Claims Administration New Mexico Workers' Compensation Administration
State Statutes New Mexico Workers Comp Statutes
New York Workers' Compensation Rules
Rating Authority New York Compensation Insurance Rating Board- NYCIRB
State Fund New York State Insurance Fund (SIF)
Assigned Risk Coverage SIF
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation New York State Insurance Department
Claims Administration New York Workers' Compensation Board
State Statutes NY Workers Comp Rules and Regulations
North Carolina Workers' Compensation Rules
Rating Authority North Carolina Rate Bureau (NCRB)
State Fund No State Fund
Assigned Risk Coverage NCRB
State Coverage Requirements Mandatory coverage for all private employers with 3 or more employees
Workers' Comp Exemptions Allowed
State Regulation North Carolina Department of Insurance
Claims Administration North Carolina Industrial Commission
State Statutes NC Workers Compensation Act
North Dakota Workers' Compensation Rules
Rating Authority Workforce Safety & Insurance
State Fund Monopolistic State Fund
Assigned Risk Coverage Get out of state coverage for ND business owners
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Workforce Safety & Insurance
Claims Administration Workforce Safety & Insurance
State Statutes Workers Compensation Code- Title 65
Ohio Workers' Compensation Rules
Rating Authority Bureau of Workers' Compensation
State Fund Monopolistic State Fund
Assigned Risk Coverage OBWC
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation OBWC
Claims Administration OBWC
State Statutes Ohio WC Statutes and Code
Oklahoma Workers' Compensation Rules
Rating Authority NCCI
State Fund CompSource Oklahoma (competitive state fund)
Assigned Risk Coverage CompSource Oklahoma
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Oklahoma Insurance Department
Claims Administration Oklahoma Workers Compensation Court
State Statutes Oklahoma Workers Compensation Act- Title 85
Oregon Workers' Compensation Rules
Rating Authority NCCI
State Fund SAIF Corporation- competitive fund
Assigned Risk Coverage NCCI
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Oregon Division of Financial Regulation
Claims Administration Oregon Workers' Compensation Division
State Statutes Oregon Workers Compensation Act- Chapter 656
Pennsylvania Workers' Compensation Rules
Rating Authority Pennsylvania Compensation Rating Bureau
State Fund State Workers Insurance Fund (SWIF)- competitive fund
Assigned Risk Coverage SWIF
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Pennsylvania Department of Labor and Industry
Claims Administration Pennsylvania Department of Labor and Industry
State Statutes Pennsylvania Workers' Compensation Act
Rhode Island Workers' Compensation Rules
Rating Authority NCCI
State Fund Beacon Mutual Insurance Company- competitive state fund
Assigned Risk Coverage Beacon Mutual Insurance Company
State Coverage Requirements Mandatory coverage for all private employers with 4 or more employees
Workers' Comp Exemptions Allowed
State Regulation Rhode Island Department of Business Regulation
Claims Administration RI Division of Workers' Compensation
State Statutes RI Workers' Compensation Act- Title 28
South Carolina Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage NCCI
State Coverage Requirements Mandatory coverage for all private employers with 4 or more employees
Workers' Comp Exemptions Allowed
State Regulation South Carolina Department of Insurance
Claims Administration South Carolina Workers' Compensation Commission
State Statutes South Carolina Code Act- Title 42
South Dakota Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage NCCI
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation South Dakota Division of Insurance
Claims Administration SD Department of Labor and Regulation
State Statutes South Dakota Workers Comp Act- Chapter 62-4
Tennessee Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage NCCI
State Coverage Requirements Mandatory coverage for all private employers with 5 or more employees
Workers' Comp Exemptions Allowed
State Regulation Tennessee Department of Commerce & Insurance
Claims Administration TN Bureau of Workers' Compensation
State Statutes Tennessee Workers' Comp Statutes
Texas Workers' Compensation Rules
Rating Authority Texas Mutual Insurance Company- competitive state fund
State Fund Texas Mutual
Assigned Risk Coverage NCCI
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Texas Department of Insurance
Claims Administration TX Division of Workers' Compensation
State Statutes Texas Workers' Compensation Statutes
Utah Workers' Compensation Rules
Rating Authority NCCI
State Fund Workers Compensation Fund of Utah (WCF)- competitive state fund
Assigned Risk Coverage NCCI
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Utah Insurance Department
Claims Administration Utah Division of Industrial Accidents
State Statutes Utah Insurance Code
Vermont Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage NCCI
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Vermont Department of Financial Regulation
Claims Administration Division of Workers' Compensation and Safety
State Statutes Vermont Workers' Compensation Statutes
Virginia Workers' Compensation Rules
Rating Authority NCCI
State Fund No State Fund
Assigned Risk Coverage NCCI
State Coverage Requirements Mandatory coverage for all private employers with 3 or more employees
Workers' Comp Exemptions Allowed
State Regulation Virginia Bureau of Insurance (BOI)
Claims Administration Virginia Workers' Compensation Commission
State Statutes Virginia Workers' Comp Code- Title 65.2
Washington Workers' Compensation Rules
Rating Authority Labor & Industries Washing State Fund
State Fund Same
Assigned Risk Coverage Same
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Office of Insurance Commissioner
Claims Administration Washington Department of Labor and Industries
State Statutes Washington Insurance Code
West Virginia Workers' Compensation Rules
Rating Authority NCCI
State Fund BrickStreet Mutual Insurance Company- competitive fund
Assigned Risk Coverage BrickStreet
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation West Virginia Insurance Commissioner
Claims Administration WV Insurance Commissioner
State Statutes WV Workers' Compensation Code
Wisconsin Workers' Compensation Rules
Rating Authority Wisconsin Compensation Rating Bureau
State Fund No State Fund
Assigned Risk Coverage Wisconsin Compensation Rating Bureau
State Coverage Requirements Mandatory coverage for all private employers with 3 or more employees
Workers' Comp Exemptions Allowed
State Regulation Office of Commissioner of Insurance
Claims Administration Wisconsin Department of Workforce Development
State Statutes Wisconsin Workers' Compensation Act
Wyoming Workers' Compensation Rules
Rating Authority Wyoming Department of Workforce Services
State Fund Monopolistic State Fund
Assigned Risk Coverage Wyoming Department of Workforce Services
State Coverage Requirements All business owners with any employees are required to carry workers' compensation insurance
Workers' Comp Exemptions Allowed
State Regulation Wyoming Department of Workforce Services
Claims Administration Wyoming Department of Workforce Services
State Statutes N/A
Shop workers comp insurance with an independent agency. Buy workers compensation insurance online.

Workers' Comp
Employer Obligations

Employers in all states may be held legally liable for employee injuries resulting from job-related activities. Workers Comp coverage was designed to minimize this possibility. Employers have an obligation to provide a safe work environment. States require each employer to buy work comp once they cross a certain threshold of employees- typically between 1 and 4 employees.

Just because a business is not required, by state rules, to provide workers compensation for their employees, does not mean its a good idea to go without a policy. As an employer, the business can be sued for medical bills and lost wages if no policy is in place. They may even be sued for negligence. It's better to budget for workers compensation insurance as part of hiring anyone who is not an owner in the business. Otherwise, all business assets are at risk.

What Employers Need to Know About Workers Comp
  • Is workers compensation insurance mandatory in my state?
  • Is there a state insurance fund?
  • Does my state utilize NCCI class codes and ratings?
  • What are the workers comp Rules in my state?
  • How do I get Assigned Risk Coverage?
  • Can owners exclude themselves from coverage?
  • What are my state Workers' compensation insurance requirements?
Want Better Workers'
Comp Quotes?
Start your quote online or call us at 888-611-7467 to speak with a Workers' Compensation Specialists


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Federal Employees and Workers Compensation

Employees who work for the federal government do not participate in state workers compensation programs. The Federal Employees' Compensation Act provides workers' compensation coverage to federal employment-related injuries and occupational diseases. The Division of Federal Employees' Compensation (DFEC) is responsible for administering the Act

What's the Difference Between Assigned Risk and State Fund Insurance?

Workers' compensation insurance is required under state regulations. Each state must create a mechanism for employers to buy workers compensation even when all private insurance carriers, or voluntary markets, are unwilling to quote the coverage due to underwriting risks. Assigned Risk workers' comp is designed to provide access to policy when business owner and employers can't find voluntary coverage. This is normally due to the nature of work being done. Businesses that have too many losses, or claims, will eventually see their experience modifier increase significantly over time.


Assigned Risk workers compensation is also known as the Residual market, or the State Insurance Pool.

Learn how state fund coverage works


A workers' compensation State Fund may be established by a state to offer coverage in either, or both, the voluntary market or the residual market. State funds also manage access to all coverage in monopolistic states that do not allow private insurance companies to sell workers comp in the state. Therefore some state funds can be competitive insurance carriers as well as the market of last resort.

What is NCCI?

NCCI is the National Council on Compensation Insurance. They are not a regulatory agency. NCCI is an independent, non-profit organization created within the insurance industry to standardize and manage the specific details of workers comp insurance such as classification codes, experience modifiers, and premium computations.


NCCI tracks and compiles statistical data for most states. The help develop workers' compensation manuals and rules used by states to manage class codes and set rates. They also track claims and manage experience modification ratings. When a state is referred to as an NCCI state, it means that the state uses NCCI manuals, class codes, and experience modification ratings developed by NCCI.

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Visit NCCI for more resources and information about workers' compensation class codes. Visit United States Department of Labor for more information about government agencies managing workers compensation insurance rates.

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