Buy Indiana Workers Compensation Insurance

Workers’ Compensation Laws in Indiana

Workers’ compensation insurance covers employees that are injured on the job, while protecting employers by limiting their liability. Most employers must carry it for their employees, whether they are full-time or part-time.

Indiana small businesses are required to carry workers' compensation insurance if they have any employees, with few exceptions:

Licensed real estate agents are not considered an employee and do not need to be covered by a policy.
Independent contractors in building or construction are required to become certified with the Indiana Worker’s Compensation Board every year before being granted a certificate of exemption.

Who needs to be covered by the policy, where you can buy it and how much it will cost are influenced by state legislation and the state's current legal and political climate. Your business must comply with the state where your employees perform work.

If a business operates in multiple states, or employees travel across state lines to work, a multi-state policy or all-states endorsement may be needed to ensure coverage.

Indiana Workers’ Compensation Rates

Workers’ compensation rates in Indiana consistently rank as some of the lowest in the country. The Indiana Department of Insurance announced a decrease in workers' compensation rates, which will take effect January 1, 2019. Rates have been trending downward for several years because of fewer reported workplace injuries.

State rates are set by the Indiana Compensation Rating Bureau. The non-profit association of licensed insurance companies gathers data from members to set fair advisory rates. Insurers are required to use these rates, which can then be adjusted based on individual business factors like years in business, claims history or workplace safety programs.

Workers' Compensation Premiums

A small business workers’ comp premium can range from a few hundred dollars to a few thousand dollars, depending on four main factors:

Class code: Industry and type of operations performed.
Location: State where employees are performing work.
Payroll: Rates are set per $100 in payroll.
Experience: Years in business and past history of claims.

Indiana passed reforms to the state work comp system in 2013, but the new legislation has had little effect on medical costs, according to a recent study by the Workers’ Compensation Research Institute.

Workers' compensation insurance covers wage replacement and medical bills for employees injured on the job. To protect against other injuries at your place of business, you may need general liability insurance.