Sole Proprietor Workers Comp Insurance: Quotes From $12/month

Workers’ compensation insurance can offer financial protection for work-related illnesses or injuries. But what if you’re only a small startup business, can sole proprietorship and workers compensation be separated? 

The answer is no. You can still benefit from a workers comp policy. Fortunately, obtaining coverage need not be expensive or difficult. Numerous insurance companies provide sole proprietors with cost-effective workers’ compensation insurance.

You can rest easy believing that you and your company have the cover in the event of any unforeseeable accidents or injuries at work by purchasing sole proprietor workers comp insurance.

As a Sole Proprietor, Do I Need Workers Comp?

In many different kinds of enterprises, single owners might benefit greatly from the protection that workers’ compensation insurance can offer. Verifying your state’s laws and regulations is crucial to see if you need sole proprietor workers compensation insurance. Here are a few examples that could considerably profit from workmans comp for sole proprietor:

  • Construction companies–Accidents frequently occur on job sites because construction activity is inherently dangerous. Even if you work alone, you could still be in danger of getting hurt. Workers’ compensation insurance can pay for your medical bills and lost wages

  • Businesses involved in landscaping–Physical work is a must in landscaping firms, which can result in injuries. For any accidents that can happen at work, workers’ compensation insurance might offer protection.

  • Cleaning services–Slip and fall accidents as well as chemical burns are common when running a cleaning business. Sole pro workers comp is very helpful if you’re in this industry

  • Food enterprises–Injuries can occur when heavy lifting, sharping knives, or working near hot surfaces in the food industry. Workers’ compensation insurance can cover any injuries while preparing or serving food

  • Transportation firms–Driving great distances and negotiating congested highways may be required when running courier or delivery services. Workers’ compensation insurance might offer coverage if an injury arises from an automobile accident or a slip and fall while on a delivery

Does a Sole Proprietor Need Workers Comp in Illinois?

In Illinois, workers compensation insurance is optional for sole owners if they have no employees. Nonetheless, they can buy their own workers’ compensation insurance, which can offer important security in the event of an incident or injury. Speaking with an insurance agent or lawyer is crucial to choose the best course of action for your company.


Does a Sole Proprietor Need Workers Comp in California?

In California, it is optional for sole owners to have workers’ compensation insurance unless they have employees. 

Nonetheless, they can buy their own workers compensation insurance, which can offer important security in the event of an incident or injury. Speaking with an insurance agent or attorney is crucial to choose the best course of action for your company.


Does a Sole Proprietor Need Workers Comp in New York?

In New York, sole owners should have sole proprietor workers comp insurance if they have employees.  Nonetheless, they can buy their own workers’ compensation insurance, which can offer important security in the event of an incident or injury. Speaking with an insurance agent or attorney is crucial to choose the best course of action for your company.


Does a Sole Proprietor Need Workers Comp in Connecticut?

If a sole proprietor has no employees, workers compensation for sole proprietor is unnecessary for Connecticut. Nonetheless, they must have workers’ compensation insurance if they hire staff members. It may be a good idea for a sole entrepreneur to carry workers compensation insurance for sole proprietors. However, it is not legally necessary to safeguard their business and personal assets in the event of workplace accidents.

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5 Reasons Why You Need Workers Compensation Insurance as a Sole Proprietor Without Employees

Protection for Yourself

You are personally responsible for any injuries you sustain while operating as a lone entrepreneur. If you don’t have workers’ compensation insurance, you can be responsible for paying for high medical costs, missed earnings, and other injury-related expenses. 

You can shield yourself and your company from financial devastation in the event of an injury by getting workers’ compensation insurance.

 

Compliance with State Laws

The legal requirement to carry workers’ compensation insurance for sole proprietors with employees exists in numerous states, including Connecticut. It is a good idea to become informed about your state’s laws, even if you don’t hire anyone, to ensure that you comply. You can ensure you abide by the law and avoid trouble by getting workers’ compensation insurance.

 

Protection for Your Clients

Workers’ compensation insurance might give your clients or customers extra security if you supply them with services. 

For instance, your insurance could pay for any damages or medical expenses if you were hurt while working on a client’s property. It can safeguard your working connection with the client and avert any potential legal issues.

 

Access to Medical Care

With workers compensation insurance for sole proprietors, getting the necessary medical care could be easier if you get hurt at work. You might need insurance to be able to afford the expense of medical care, or you might have difficulties locating a healthcare professional who will treat you. 

You can guarantee that you will have access to the necessary medical care in the event of an injury by getting workers’ compensation insurance.

 

Protection for Future Employees

Getting workers comp insurance for sole proprietor today might help you be ready to hire staff in the future. You may streamline the recruiting process and ensure you can adhere to any legal obligations. Talents will always want to work for a company that has a benefit program ready for them. And workers compensation will help you retain a valuable workforce. 


How to Designate Yourself as An Insured in a Workers Compensation Policy?

Here’s how you insure yourself as a sole proprietor with a workers compensation insurance policy:


Contact Your Insurance Provider

Contacting your insurance company is the first step in adding yourself as an insured on a workers’ compensation policy. 

You can designate yourself as insured with the assistance of your provider, who can also help you understand the coverage options available to you.

 

Complete the Application

After speaking with your insurance provider and learning about the different coverage options, you must complete an application.

Typically, this application will contain details about your company, such as your legal name, address, and any other pertinent information.

 

Provide Proof of Business Ownership

You must present evidence of business ownership to list yourself as an insured on a workers compensation policy. Documentation includes a business license, tax returns, or other pertinent documents.  

 

Choose Coverage Options

You can select the coverage options that suit your needs as you complete the application. Such could involve choices regarding your desired level of coverage, any necessary exclusions or endorsements, and any deductibles or other policy-specific information.

 

Sign the Policy

You must sign the policy after completing the application and selecting your options for coverage. It demonstrates your acceptance of the policy’s conditions and the offered coverage.


Keep Your Policy Up to Date

Finally, it’s critical to maintain the most recent version of your workers’ compensation policy. It may entail keeping your coverage selections current as your company expands or undergoes changes, informing your insurance company of workplace accidents or injuries, and ensuring your policy which is renewable on time each year.


Workers compensation insurance is crucial for sole owners to safeguard their company and themselves from work-related illnesses or injuries. Top companies offer customizable coverage, online management, and claims assistance for added peace of mind.

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Can You List Independent Contractors as Insureds in a Workers Compensation Policy?

Independent contractors cannot get listed as insureds in a workers’ compensation policy. Workers’ compensation insurance does not cover Independent contractors–only employees. Independent contractors are self-employed individuals in charge of acquiring their insurance.

Businesses must correctly categorize their people as either employees or independent contractors because failure to do so can have negative legal and financial repercussions. 

Suppose a company incorrectly labels a person as an independent contractor and that individual has an occupational injury. In that case, the company may be held responsible for the cost of medical expenses and lost income.

Companies that use independent contractors should confirm that those individuals enjoy the cover by their own workers compensation insurance.  


Sole Proprietorship Workers Comp Exemption

Sole entrepreneurs may be eligible for a sole proprietor exempt from workers compensation in several states. That indicates that neither they nor potential employees must obtain workers’ compensation insurance. But each state has its requirements for exemption. Begin by filling  sole proprietor workers comp waiver form. 

A sole proprietor may need to show proof of their business structure, such as a business license or tax return, and may need to satisfy specific requirements, such as not having any employees or being a particular type of business, to be granted a workers compensation sole proprietor waiver.

 

While getting a workers’ compensation exemption might reduce insurance costs for sole entrepreneurs, it is crucial to weigh the hazards carefully. A sole proprietor risks personal liability for workplace accidents or injuries without workers’ compensation insurance. In addition, the sole proprietor might find that sole proprietorship workers compensation waiver will make it hard to hire or retain talents.

 

As a Sole Proprietor, Can You Request Clients to Add You to Their Workers Compensation Policy?

You can ask your clients to include you in their policy if you are a lone entrepreneur. So whether or not they choose to have you in their insurance is ultimately up to the client.

You might not have to appear in a client’s workers compensation policy if you deliver services to them and are an independent contractor. Even so, it’s a good idea to go through the possibilities with your client and find out what kind of insurance you have in case of workplace accidents or injuries.

In order to protect yourself from any workplace injuries or accidents, you should also consider getting your own workers’ compensation insurance coverage as a lone entrepreneur. In the event of an accidental injury or illness, this can offer you cash protection and help ensure you can run your business as usual.


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Best Workers Compensation Insurance Companies for Sole Proprietors

Here are some of the best insurance companies for sole pro workers compensation insurance. Read some of the reviews below to know their pros, cons, and average cost. 


NEXT Insurance

Pros

  • Lets company owners sign up for worker’s compensation insurance in minutes

  • Offers up to a 10% discount on packaged insurance. 

  • Policyholders can access and share their insurance certificates online for free

Cons

  • The digital claim process may be unfamiliar to traditional business owners who prefer paper records

NEXT Insurance is a top sole proprietor workman’s comp provider. It has a digital platform you can use to quickly get covered. With NEXT, there’s no need to talk to an agent about the specifics of your workers comp coverage. All details are clearly laid out in your online quote. 

Best for: Best overall; Fastest sole pro workers compensation insurance

Average cost: $19 per month 

Our rating: 10/10


The Hartford Insurance 

Pros

  • High workers’ compensation insurance customer satisfaction

  • Renowned underwriter of workers compensation insurance

Cons

  • Online quoting not available for all business lines

The Hartford is a renowned underwriter for workers compensation insurance. This insurance company underwrites workers comp coverage for businesses in highly risky industries. The Hartford’s workers comp claims process is also designed to be quick and responsive. 

Best for: Renowned underwriter for sole pro workers comp

Average cost: $22 per month 

Our rating: 10/10


CoverWallet

Pros

  • Online insurance quotation application

  • Compare workers compensation insurance quotes online

  • Offers many coverage options

Cons

  • A third party provides coverage

This company offers affordable plans to help sole proprietors be all set in case a claim arises. CoverWallet, similar to NEXT, has an online digital quoting platform. What makes it different is that the quoting platform can be used to not only view one but multiple workers compensation insurance quotes all at once. 

Best for: Comparing sole pro workers comp insurance quotes online 

Average cost: $20 per month 

Our rating: 10/10


Hiscox

Pros

  • Easy to acquire quotes and buy plans online.

  • Buying two or more Hiscox products can lower your premium by 5%. If you change your mind, they provide a 14-day refund.

Cons

  • Doesn’t cover Alaska

  • If your company employs more than ten people, you may need to consider additional insurance choices.

Hiscox Insurance may be the best worker’s compensation insurance company for solo proprietors. Your workers comp coverage from this company has a 14-day money-back guarantee. Moreover, you can bundle the policy with other business insurance solutions to enjoy a discount. 

Best for: Sole pro workers comp insurance with a 14-day moneyback guarantee

Average cost: $30 per month 

Our rating: 9/10


Tivly 

Pros

  • Compare quotes over the phone

  • A partner of many reputable insurance companies

  • Personalized approach in getting you covered

Cons

  • No online quotes

Tivly is an insurance broker with a personalized approach in getting you covered. By assigning an agent, this company gets you in touch with reputable insurance companies that underwrites workers comp insurance. Tivly works with a broad range of business and you’re sure to get covered no matter how risky operations are. Call a representative now to compare quotes over the phone. 

Best for: Comparing sole pro workers comp insurance quotes over the phone 

Average cost: $32 per month 

Our rating: 10/10


Thimble 

Pros

  • Contractors and managers can easily verify coverage with certificate manager

  • Short-term coverage available

  • Quick to issue an estimate of your rates

Cons

  • You can’t reach customer service by calling 

This company provides top-notch coverage. Thimble’s workers comp insurance is designed for sole proprietors providing healthcare, beauty, construction, and IT services. Moreover, this company sees to it that your workers comp coverage accurately meets state minimums. 

Best for: Solopreneurs that need fast, flexible, and economical insurance for short-term projects or contracts.

Average cost: $35 per month

Our rating: 9/10

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