Illinois Workers Compensation Insurance: Quotes From $27/mo

When it comes to matters of employees and workplace safety, Illinois workers compensation insurance plays a critical role. Understanding the ins and outs of workers compensation insurance is vital for ensuring protection and peace of mind. 

In this comprehensive guide, we will look into the intricacies of Illinois workers compensation, covering essential aspects such as legal requirements, exemptions, benefit amounts, waiting periods, penalties for non-compliance, and insurance costs.

What is Workers Compensation Insurance?

Workmans comp Illinois is a necessary form of coverage. It provides crucial financial protection for both employees and employers in the event of work-related injuries or illnesses. Illinois’s mandatory insurance requirement ensures that employees receive the necessary benefits they deserve while also safeguarding employers from potential lawsuits. This comprehensive insurance policy covers a range of expenses, including medical costs, lost wages, rehabilitation expenses, and other related financial burdens that may arise from work-related incidents.


When Do You Need to Get Workers Compensation Insurance in Illinois?

In accordance with Illinois workers compensation laws, employers in the state are required to obtain workers compensation insurance if they have one or more employees. This legal mandate applies to all types of businesses, including corporations, partnerships, limited liability companies (LLCs), and sole proprietorships. It is crucial to understand that this coverage obligation extends to part-time employees and family members working within the business.

Complying with the Illinois workmans comp laws by obtaining the necessary insurance showcases employers’ commitment to prioritizing the safety and well-being of their workforce. In the unfortunate event of a work-related injury or illness, this insurance is critical in providing essential financial support to affected employees. It ensures they have access to the required medical treatment and receive appropriate compensation for any wages lost due to their injury or illness.


What Government Agency Oversees Workers Compensation in Illinois?

The Illinois Workers Comp Commission, also known as the IWCC, is the government agency responsible for overseeing workers compensation in Illinois. It serves as the administrative body that facilitates the resolution of disputed workers’ compensation claims between employees and employers.

The IWCC administers and enforces the State of Illinois workers compensation and Occupational Diseases Acts. These acts compensate individuals who have sustained accidental injuries or death while employed in the state. The commission ensures that injured workers receive the benefits they are entitled to under the law and that employers fulfill their obligations in providing compensation.

The IWCC provides a fair and efficient process for resolving Illinois workers compensation claim. It oversees hearings and arbitrations, ensuring injured workers receive good benefits while balancing the interests of employers. Additionally, the IWCC educates employers and employees about their rights and responsibilities under the state’s workers compensation system.

Which Businesses Are Exempt from Getting Workers Compensation Insurance in Illinois?

Under the state of Illinois workers compensation laws, certain businesses may be exempt from obtaining workers compensation insurance:

  • Sole proprietorships–If you are a sole proprietor in Chicago without any employees, you may be exempt from the requirement of obtaining workers compensation insurance coverage. However, it is recommended to consult the workers compensation laws specific to Chicago or seek legal advice to confirm your eligibility for exemption and ensure compliance with the regulations regarding workers compensation in Chicago and other areas in Illinois

  • Partnerships–Partnerships without employees may be exempt from obtaining workers compensation insurance. It is essential to review the specific requirements and exemptions outlined in the state of Illinois workers compensation laws

  • Limited liability companies (LLCs)–In some cases, LLCs without employees may be exempt from obtaining workers compensation insurance. It is essential to thoroughly research and understand the exemptions applicable to LLCs under the state’s workers compensation laws

  • Certain agriculatural operations–Certain agricultural operations, such as family farms, may have specific exemptions or alternative insurance programs available. It is crucial to refer to the state’s workers compensation laws and regulations for detailed information regarding exemptions for agricultural businesses

  • Independent contractors–Regarding workers compensation in Chicago, independent contractors are typically not considered employees and may not be required to have workers compensation insurance. However, it is crucial to accurately determine the classification of workers as independent contractors or employees to ensure compliance with the state’s laws. Some businesses may explore self-insurance as an alternative option for workers compensation coverage

While businesses listed above may be exempt from obtaining workers compensation insurance in Illinois, it is crucial to emphasize that they must still fulfill their obligations regarding workers compensation Illinois requirements. This includes ensuring a safe working environment and adhering to all relevant labor laws in the state.

To fully understand the specific exemption criteria and requirements, it is highly recommended to consult the official state of Illinois workers compensation website or seek professional legal advice. By doing so, businesses can ensure compliance with the necessary regulations and maintain a lawful operation within the state.

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How Much Money Does Illinois’s Workers Compensation Insurance Give?

The amount of money or benefits an employee in Illinois can receive from workers compensation insurance depends on various factors, including the severity of the injury, the extent of disability, and the employee’s average weekly wage. Illinois law establishes specific guidelines for calculating and determining the benefits payable under workers compensation insurance.

Here are the key types of benefits provided by Illinois workers compensation insurance:

  • Temporary partial disability benefits–Temporary Partial Disability Benefits (TPD) are workers compensation benefits provided to injured workers in Illinois who are still healing but working in a light-duty capacity, earning less than their pre-injury wages. The disability benefit amount is generally calculated as two-thirds of the difference between pre-injury and light-duty job earnings, subject to minimums and maximums

  • Temporary total disability benefits–These are workers compensation benefits provided to injured workers in Illinois, including in Chicago, when they cannot work due to work-related injuries. The benefit amount is generally two-thirds of the employee’s average gross weekly wage. Employers are required to make prompt TTD payments as mandated by Illinois workers compensation rules, and failure to do so may result in penalties

  • Permanent partial disability benefits–These benefits compensate injured employees who have suffered a permanent disability, disfigurement, or physical loss but can still perform some work. They encompass wage differentials, schedule injuries, non-schedule injuries, and disfigurement benefits. Examples include thumb or finger amputations (79 weeks), hand injuries (205 weeks), and severe disfigurement (162 weeks)

  • Permanent total disability benefits–These benefits in Illinois compensate injured employees who are permanently unable to work. This includes the complete loss of both hands, arms, feet, legs, or eyes or a disability that renders the employee unable to perform any type of work. The benefit amount is typically two-thirds of the employee’s average weekly wage and is paid for life

How Long Will an Employee Wait Before Receiving Benefits?

The waiting period for workman’s compensation in Illinois is three workdays. Injured or sick employees will start receiving benefits on the fourth day if they cannot work. Employees who need to complete two calendar weeks of work can receive payment for the workdays they were not compensated for during the initial waiting period.


A city in Illinois


Penalties for Not Getting Workers Compensation in Illinois

Failure to obtain workers comp insurance Illinois can result in various penalties and consequences. Some specific penalties employers may face for not having workers compensation coverage are:

  • Civil penalties–Employers who fail to obtain workers compensation insurance may be subject to civil penalties imposed by the Illinois Workers’ Compensation Commission. These penalties, as outlined in the Illinois workers compensation laws, can include fines and monetary assessments

  • Stop-work orders–The Illinois Workers Compensation Commission has the authority to issue stop-work orders against employers who do not have proper workers compensation coverage. This order requires the employer to cease all business operations until they comply with the insurance requirements

  • Criminal prosecution–In cases of willful non-compliance or intentional disregard for workers compensation laws, employers may face criminal charges. This can result in potential imprisonment and additional fines stipulated by Illinois workers compensation penalties

  • Personal liability–Without workers compensation insurance, employers can be held personally liable for any injuries or damages their employees suffer. This means they may be responsible for covering medical expenses, lost wages, and other costs out of their assets, as mandated by Illinois workers compensation laws. However, some employers may consider obtaining a ghost policy to meet the legal requirements

Employers in Illinois must understand and comply with the state’s workers compensation laws to avoid these Illinois workers compensation penalties and protect the well-being of their employees. For detailed information and specific penalties, it is recommended to consult the official state of Illinois workers compensation website or seek legal advice.

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Illinois Workers Compensation Insurance Cost

The average cost of workers compensation insurance in Illinois is $50 per month or $600 per year. Insurance providers consider various factors specific to your business when determining the premium rates for Illinois workmans comp payouts. These factors include:

  • Number of employees–The size of your workforce plays a role in determining workers compensation insurance costs. Generally, the more employees you have, the higher the premium

  • Claims history–Insurance providers consider the past claims history of your business. If your company has a higher frequency or severity of claims, it may result in higher premiums

  • Industry risk level–The specific risks associated with your industry can affect insurance costs. Industries with higher injury rates or hazardous working conditions may have higher premiums

  • Safety measures and risk management–Employers who prioritize safety measures and have robust risk management practices in place may be eligible for lower insurance rates

  • Nature of the business–Different industries carry varying levels of risk, which can impact insurance premiums. High-risk industries like construction or manufacturing may have higher premiums than lower-risk ones. Additionally, with the rise of remote work and the shift to home-based operations, it’s important to consider the nature of your business

Given these factors, the cost of workers compensation insurance in Illinois can vary considerably. To obtain precise quotes customized for your business, it is advisable to consult reputable Illinois workers compensation insurance companies certified in the state. In connection, this table shows how much the best companies charge for their workers compensation insurance:

Cost per Month Cost per Year Best for
NEXT $25 $300 Fastest workers compensation insurance
The Hartford $26 $312 Comprehensive workers compensation insurance
CoverWallet $29 $348 Comparing workers compensation insurance quotes online
Tivly $30 $360 Comparing workers compensation insurance quotes
Thimble $32 $384 Flexible workers comp insurance
Hiscox $34 $408 Workers comp insurance with upgrades

Compare Cheap Illinois Workers Compensation Insurance Quotes Online

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Best Illinois Workers Compensation Insurance Companies

When it comes to workers compensation insurance in Illinois. Choosing from a list of certified providers who offer reliable coverage and excellent service is crucial. Here is an overview of some top Illinois workers compensation insurance companies:


NEXT

Pros

  • Get insured quickly

  • Quick and helpful support

  • Fastest workers compensation insurance for construction project managers in Illinois

  • Great customer service and reputation in Illinois

  • Excellent rates for Illinois businesses

  • Outstanding value for money for Illinois workers compensation coverage

Cons

  • Couldn’t find any

NEXT stands out as a reputable and reliable provider of workers compensation insurance in Illinois. Their streamlined application process ensures coverage is accessible to businesses in minutes. Their experienced staff helps in making the application process smooth and efficient. Customers have praised NEXT’s responsive customer service, ensuring prompt assistance and support.

Best for: Fastest workers compensation insurance

Average cost: $25 per month

Our rating: 10/10


The Hartford

Pros

  • Offers online insurance quotes for Illinois workers compensation insurance

  • AARP members in Illinois get extra benefits

  • Covers all construction projects from large to small in Illinois

Cons

  • Lacks coverage in some areas of Illinois

The Hartford is a trusted and well-established provider of workers compensation insurance in Illinois. They offer a user-friendly online platform allowing businesses to easily obtain insurance quotes and manage their policies. With a solid financial rating and a long history in the insurance industry, The Hartford instills confidence in their customers.

Best for: Comprehensive workers compensation insurance

Average cost: $26 per month

Our rating: 10/10


CoverWallet

Pros

  • Wide selection of insurance partners

  • Convenient online platform for comparing quotes

  • Specialized policy options for different industries

Cons

  • Not an insurance company but an insurance broker

CoverWallet is widely regarded as the best insurance partner for businesses in Illinois seeking comprehensive workers compensation coverage. With its extensive network of insurance partners and efficient online platform, CoverWallet simplifies finding and comparing insurance policies tailored to specific business needs. Whether you’re a small business owner or part of a larger organization, CoverWallet offers a range of customizable coverage options to ensure your workers are protected in the event of work-related injuries.

Best for: Comparing workers compensation insurance quotes online 

Average cost: $29 per month

Our rating: 10/10


Tivly

Pros

  • Get quotes in minutes for Illinois workers compensation insurance

  • Expert insurer matching process for Illinois businesses

  • Over 200 insurers to choose from for Illinois workers compensation coverage

Cons

  • You need to call to get a quote specifically for Illinois workers compensation insurance

Tivly is a digital insurance platform that specializes in offering workers compensation insurance solutions tailored to businesses in Illinois. With access to over 200 insurers, they provide a wide range of coverage options to meet your specific needs. Tivly ensures you can compare and select the best policy for your business. Whether in the construction industry or any other field, Tivly offers a convenient way to secure workers compensation insurance in Illinois.

Best for: Comparing workers compensation insurance quotes 

Average cost: $30 per month

Our rating: 10/10


Thimble

Pros

  • Fast-growing small business insurer in Illinois

  • Quick and easy application process

  • Customizable policies to suit specific project needs

  • Positive customer reviews and reputation

  • A+ rating from the Better Business Bureau

Cons

  • You can’t reach customer service by calling 

Thimble is a recognized provider of workers compensation insurance in Illinois, specializing in tailored coverage options for businesses, including construction project managers. One of their standout features is on-demand coverage, which allows businesses to obtain insurance for specific projects or periods, providing flexibility and convenience. Thimble has gained popularity among businesses seeking customizable and temporary workers compensation insurance solutions.

Best for: On-demand coverage for construction project managers in Illinois

Average cost: $32 per month

Our rating: 10/10


Hiscox

Pros

  • Get refunds within 14 days of policy purchase for Illinois workers compensation insurance

  • 5% discounts for bundling multiple policies for Illinois businesses

  • Quick claim responsiveness for Illinois workers compensation coverage

  • High customer survey ratings for Illinois businesses

Cons

  • High-risk customers might be referred to partners

Hiscox is a well-established insurance company offering various insurance products, including workers compensation coverage. With a strong reputation and years of experience in the industry, Hiscox provides reliable and trusted insurance solutions to businesses in Illinois. Their expertise and commitment to customer service make them a reputable choice for workers compensation insurance needs.

Best for: Worldwide coverage for construction project managers in Illinois

Average cost: $34 per month

Our rating: 10/10

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