FloridaWorkers' Compensation Insurance

Find the Best Workers' Compensation  Insurance Options in Florida

There are about 2.5 million small business owners in the state of Florida. Businesses with employees should consider getting workers' compensation insurance to protect employees against lost wages or the cost of medical treatments who get injured or ill on the job due to their tasks or work environment. Further, workers' comp is often mandatory by state law if you have a certain number of employees. In Florida, if your business has four or more employees, you're legally required to carry workers' comp, with few exceptions.

Fortunately, an independent insurance agent in Florida can help you get set up with all the workers' comp necessary. They know where to help you find the right coverage for your business. But first, here's a breakdown of workers' comp in Florida.

Florida Workers' Compensation Laws

Florida's workers' compensation requirements can vary. For most businesses in Florida with four or more employees, state law mandates that they must have workers' compensation insurance. There are a few exceptions to the rule, however. For construction companies, this coverage is required if the business has at least one employee. For agricultural businesses in Florida, coverage is only required if they have six or more employees. 

How Does Workers' Compensation Insurance Work in Florida?

Workers' compensation in Florida works by providing benefits to employees who may get injured or ill as a result of their jobs. Injuries or illnesses can result from either the employee's job duties or the work environment itself. Workers' compensation can help pay for the employee's medical treatments and other recovery costs, as well as provide some of a continued income stream while they're out of work.

Having workers' comp as a part of your Florida business insurance policy also exempts a company from employee lawsuits. Neither an employee who gets injured or ill due to their job nor their family members can sue the business if it provides workers' comp for the incident. So, workers' comp in Florida protects both a business's team and the business itself.

Florida Workers' Compensation Exemptions

There are some exemptions to workers' comp requirements in Florida. For example, partnerships and sole proprietors can forgo workers' comp if they file for an exemption via a certificate of election. Corporations and LLCs in the construction industry can also exempt up to three officers or members. Other workers' comp exemptions in Florida include:

• Independent contractors
• Agricultural businesses with less than six employees
• Other businesses with less than four employees

A Florida independent insurance agent can help you determine if your business is required by law to have workers' comp.

Do Independent Contractors Need Workers’ Comp Coverage?

Whether a Florida independent contractor is required to have workers' comp depends on the niche of business they're in. For independent contractors in the construction industry, for example, Florida still requires workers' comp. This rule applies to all self-employed individuals in the construction industry in Florida, whether they're classified as sole proprietors or independent contractors.

Other self-employed professionals typically don't need to carry workers' comp in Florida. So, if you're an independent contractor not in the construction field, you're likely not required to have this coverage. However, it's always a wise idea to double-check with your Florida independent insurance agent to be certain.

Do Florida Business Owners Need to Be Covered by Workers’ Compensation?

Business owners are typically exempt from needing workers' comp in Florida. However, roofers are an exception to this rule. Business owners of roofing companies are required by Florida state law to be covered by workers' comp.

For other business owners and sole proprietors, workers' comp typically isn't required. However, don't just assume you don't need coverage. If you're a business owner, check with local laws and your Florida independent insurance agent before you opt to leave workers' comp out of your policy, just in case.

What Does Florida Workers' Compensation Cover?

Florida workers' compensation covers employee benefits during times of workplace injuries and illnesses. This coverage can provide compensation for medical treatments if an employee gets injured or ill due to the workplace or their job's tasks. It can also provide a continued stream of income while the employee is out of work recovering.

Workers' comp can also sometimes cover funeral costs if an employee dies as a result of their job. In turn, a business is exempt from getting sued by affected employees or their families for incidents of workplace injuries, illnesses, and deaths. Here's a further breakdown of what workers' comp covers in Florida:

• Time off during recovery: Workers' comp can help continue some of an employee's wages while they must take time off work to recover from an injury or illness. So, if an employee must spend two weeks in the hospital to mend a broken leg, workers' comp can help continue some of the wages they would've made working during that time.
• Medical expenses: Workers' comp can help pay for the medical expenses related to employee injuries or illnesses as a result of the job. So, if an employee must get a prescription for an illness caused by work materials they used, workers' comp can pay for this cost.
• Ongoing care: If a job causes repetitive stress of some form to an employee, it's possible they'll require ongoing care to continue treating an injury or illness caused by their work. Workers' comp can help pay for costs associated with ongoing care, such as physical therapy.
• Death benefits: If an employee dies as a result of job duties or the work environment, workers' comp can even provide death benefits. Death benefits are usually paid to an employee's surviving dependent family members or spouse.
• Funeral costs: Also, if an employee dies due to their job or work environment, Florida workers' comp can help cover funeral costs. This can include burial costs, the cost of the casket, and more.
• Disability benefits: This includes temporary total disability benefits, permanent partial disability benefits, and permanent total disability benefits. If an employee qualifies for disability benefits due to a workplace incident, workers' comp can help cover these costs.

A Florida independent insurance agent can further explain what your workers' compensation policy covers.

How Much Does Workers’ Compensation Insurance Cost in Florida?

The average cost of workers' compensation insurance in Florida is $46 per month or $552 per year. However, the cost of workers' comp coverage varies depending on a number of different factors. These can include your business's number of employees and the amount of payroll your business must pay annually.

The location of your business also impacts the cost of coverage, as does its industry. Depending on your business's niche, the risk factors may be greater, such as for those in the construction field. Riskier operations translate to more risk of paying out claims for insurance companies, meaning workers' comp rates must be higher to compensate. Further, your business's claims history and the coverage limits it selects can also impact the cost of its workers' comp coverage.

How Can Florida Business Owners Save Money on Workers’ Comp.?

Business owners in Florida can possibly save money on their workers' comp. coverage with a few simple tips. For example, you can select a "pay-as-you-go" payment method for workers' comp., which provides a low upfront premium, and allows your business to buy coverage based on actual payroll rather than projected or estimated payroll. Hiring seasonal employees can also help keep your workers' comp. costs low.

Further, completing an approved safety program can also help your business save money on workers' comp. If your business demonstrates efforts to maintain a safer work environment to an insurance company, it's likely to be rewarded with lower coverage rates. Also, if you require your employees to complete a safety training to decrease the likelihood of workplace incidents, your business might also save money on workers' comp.

What Are the Penalties for Not Having Workers' Comp. in Florida?

A business owner can face major penalties in Florida if they don't carry proper workers' comp. coverage. A Florida business owner's fines for not providing adequate workers' comp. can often total double the cost of what they would've paid for their workers' comp. policy's premiums, had they bought it. Further, the business owner can be held liable for paying for the costs of lost wages and medical expenses for any employees who get injured or ill due to the job or work environment.

Not having adequate workers' comp. coverage can end up being a lot more expensive for a Florida business owner than just providing the right amount of coverage from the start. If your business is found to not provide the right amount of coverage, it could face harsh penalties including hefty fines. Make sure to work with a Florida independent insurance agent right away to ensure your business gets equipped with all the workers' comp. it needs to avoid fines and penalties.

How to Buy Workers' Compensation Insurance in Florida

There are a couple of different ways a Florida business owner can buy workers' compensation for their employees. A business owner can purchase coverage through the voluntary market, or they can choose to self-insure their business if they qualify. You can also apply for coverage online.

The easiest way to buy workers' comp., however, is to work with a Florida independent insurance agent. An independent insurance agent is able to shop and compare policies from many different local companies for you. They'll provide you with only the best options for a blend of coverage and cost, and get you the policy you need, fast.

Best Workers' Compensation Insurance Companies in Florida

There are many different insurance companies in Florida that offer workers' comp coverage. However, you're looking for the best quality coverage to protect your business, and you also want great rates. That's why we put together this list of some of the best workers' comp insurance companies in Florida for your convenience.

• Nationwide: Nationwide is a longstanding carrier that has an excellent reputation with its outstanding Better Business Bureau (BBB) and AM Best ratings. The carrier also offers 24/7 claims support. 
• Travelers: Travelers is a longstanding carrier with outstanding customer feedback. Travelers is known for affordable rates, many discount and endorsement options, and strong financial strength.
• The Hanover: The Hanover got its start way back in 1852 and has excellent AM Best and BBB ratings. The insurance company also offers 24/7 claims reporting. 
• Progressive: Progressive is a longstanding carrier known for quality coverage and affordable rates and is an excellent option for workers' comp insurance in Florida. Progressive also offers plenty of discount options and additional coverages that your business can bundle together. 
• Liberty Mutual: Liberty Mutual is a Fortune 500 company known for providing quality service and coverage. The carrier also has great AM Best and BBB ratings and provides 24/7 claims reporting.

A Florida independent insurance agent can help you find the workers' comp your business needs from one of these top-rated carriers.

What Are the Best Workers' Compensation Insurance Companies in Florida?

Top Workers' Compensation Insurance Companies	Star Rating
Nationwide
Travelers
Hanover
Progressive
Liberty Mutual

FAQs: Workers' Compensation in Florida