Updated: January 3, 2025
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MoneyGeek 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.
Based on MoneyGeek's analysis, the best workers' compensation insurance provider in Virginia is The Hartford. It achieved a MoneyGeek score of 96 out of 100, outperforming other providers due to its excellent customer satisfaction and financial stability. The Hartford's average monthly premium is around $115, although actual rates can vary based on specific business needs.
Key Highlights:
- Financial Stability: The Hartford is highly rated for its financial stability, ensuring that it can reliably cover claims.
- Customer Service: The company is known for strong customer satisfaction, indicating positive interactions and support for policyholders.
- Affordability: While The Hartford offers competitive pricing, for those prioritizing cost, Pie Insurance is the most affordable option, with an average monthly premium of $90.
Average Premiums by Business Size:
- Small Businesses (5 employees, $312,500 annual payroll): Approximately $53 monthly with The Hartford.
- Mid-sized Businesses (100 employees, $6,250,000 annual payroll): Average of $396 monthly with The Hartford.
- Typical Business Scenario (20 employees): Average cost of $128 per month, which is below the national average of $168.
The Hartford offers comprehensive coverage with a $1 million total policy limit, which includes:
- $1 million per accident limit
- $1 million per employee limit
These limits ensure robust protection against financial and legal liabilities arising from workplace injuries or illnesses.
In summary, The Hartford is the best choice for workers' compensation insurance in Virginia, combining strong financial backing, high customer satisfaction, and competitive pricing for different business sizes. For businesses focused only on cost, Pie Insurance provides the lowest premiums.
For cost-conscious businesses in Virginia seeking workers' compensation insurance, Pie Insurance stands out as the most affordable option. With an average monthly premium of $90, it offers a budget-friendly solution compared to other providers in the state. Businesses focusing on minimizing expenses without compromising on essential coverage can benefit significantly from Pie Insurance’s competitive rates.
Here’s why Pie Insurance is an excellent choice for cost-conscious businesses:
1. Affordability: At $90 per month on average, Pie Insurance offers the lowest premiums compared to other major providers in Virginia, making it an ideal choice for businesses looking to manage costs effectively.
2. Cost-Effectiveness: For businesses with up to 20 employees and a payroll of $1,250,000, Pie Insurance provides a cost-effective way to meet mandatory workers' compensation requirements, helping businesses maintain compliance without straining their budget.
3. Compliance and Protection: Workers' compensation insurance is a legal requirement for businesses with two or more employees in Virginia. Pie Insurance ensures that businesses meet these obligations while providing a financial safety net against workplace injuries or illnesses.
4. Tailored Solutions: While Pie Insurance offers low average premiums, the actual costs may depend on specific business factors such as employee count and payroll. This flexibility allows businesses to get coverage that fits their individual financial and operational needs.
In summary, for businesses in Virginia that prioritize affordability, Pie Insurance offers a compelling option for workers' compensation coverage, balancing cost savings with necessary protection.
Workers' compensation insurance premiums in Virginia, like in other states, are influenced by several key factors. Understanding these factors can help businesses better manage their insurance costs and choose the most suitable insurance provider. Here's a closer look at each factor:
1. Payroll and Employee Count: The size of the payroll and the number of employees are primary determinants of workers' compensation insurance premiums. Higher payrolls and more employees generally lead to higher premiums because they represent a larger risk pool. The example data from Virginia shows that businesses with 20 employees typically pay an average of $128 per month for coverage, which reflects the relationship between employee count and premium costs.
2. Employee Class Codes: Different types of work have varying levels of risk associated with them, which are represented by class codes. Jobs considered more hazardous have higher class codes, which lead to higher premiums. For instance, construction workers would have a different (and likely higher) rate compared to office workers due to the nature of their work.
3. Claims History: Businesses with a history of frequent claims may face higher premiums. Insurers see a high claims history as an indicator of risk-prone environments, necessitating higher costs to cover potential future claims.
4. Industry: Certain industries are inherently riskier and will affect pricing. For instance, manufacturing might have different premium rates compared to a retail business due to the different types of risks involved in each industry.
5. Coverage Limits: The limits on the policy will also play a role in determining the premium. For the Virginia example provided, the sample policy includes a $1 million total policy limit, with specific per accident and per employee limits, which would affect the premium.
6. Business Location: Even within a state, different regions can have varying premium rates based on factors like local regulations, the frequency of workplace injuries, and healthcare costs.
In Virginia, specific legal obligations add another layer of influence on workers' comp insurance rates. Businesses with two or more employees are required to obtain coverage, including executive officers and LLC managers, unless they submit a Rejection of Coverage form. On the other hand, sole proprietors with no employees are not required to carry insurance.
It's crucial for Virginia businesses to carefully consider these factors when purchasing workers' compensation insurance. While the MoneyGeek study highlights The Hartford as the top choice based on affordability, satisfaction, and stability, Pie Insurance offers a more budget-friendly option for those prioritizing cost.
This variability in policy options and factors influencing premiums underscores the importance of thorough comparative analysis and customized selection when choosing a workers' compensation insurance provider in Virginia.
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 Virginia.
Coverage costs and company information for workers' compensation insurance providers in Virginia were last updated in 2023.
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?
MoneyGeek used the following weights to score and rank insurers:
MoneyGeek used the following business profile to gather quotes:
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.
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.
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 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.
| Pie | $90 | $1,075 |
| Thimble | $105 | $1,139 |
| The Hartford | $115 | $1,380 |
| Next | $130 | $1,554 |
| biBERK | $138 | $1,460 |
| Nationwide | $191 | $2,297 |
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.
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.
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 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.
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:
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?
To find the average cost of workers’ compensation insurance in Arkansas, we gathered quotes for three types of software development businesses:
| 5 | $54 | $611 |
| 20 | $128 | $1,484 |
| 100 | $376 | $4,375 |
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.
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.
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.
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.
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.
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.
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.
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.
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.
We answered some frequently asked questions about workers’ compensation insurance in Virginia to provide you with valuable insights and information.
The Hartford offers the best workers’ comp insurance in Virginia, costing an average of $115 per month. It also has high ratings for customer satisfaction and financial stability. Your best option may vary based on location, payroll and employee count.
Pie Insurance offers the cheapest workers’ comp insurance in Virginia, with premiums averaging $90 per month. Apart from its affordability, this company also has excellent financial strength and an efficient online quote system. However, the cheapest insurer for you depends on factors such as your location, payroll costs and employee count.
Yes, businesses with two or more employees must buy workers’ compensation insurance in Virginia. Meanwhile, sole proprietors with no employees are not required to carry coverage.
Based on our analysis, workers’ comp insurance in Virginia costs an average of $128 per month for businesses with 20 employees.
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.
