Workers’ Comp Florida

• Is Workers’ Comp Florida required for my business?
• How does Workers’ Compensation in Florida work?
• Workers’ Comp exemption in Florida: Who qualifies?
• How much does Florida Workers’ Compensation cost?
• Workers’ Comp Florida FAQ
• How ERGO NEXT Workers’ Compensation insurance can help protect Florida business owners

Is Workers’ Comp Florida required for my business?

Workers’ compensation in Florida is required insurance for most businesses with four or more employees. Non-construction businesses must carry coverage once they have four or more employees, full-time or part-time. Construction businesses must cover all workers starting with their very first employee — including contractors and self-employed workers.

Florida also has state requirements for agricultural workers. Business owners must provide workers’ comp If you have a business with six or more regular employees or 12 or more seasonal employees who work for more than 30 days per year.

In the Sunshine State, a workers’ comp policy is usually optional for your business if you have three or fewer employees. But without Florida workers’ comp insurance to help protect you, you could be held personally responsible if an incident were to occur.

Depending on the city where you operate, workers’ compensation in FL may be required for some business licenses and certifications. For example, Florida asks for proof of workers’ comp insurance for general contractor license requirements.

And even if it’s not a requirement, some clients may ask for proof of coverage before signing a contract to work with you.

How does Workers’ Compensation in Florida work?

Florida has one of the largest workers’ compensation markets in the country — private sector insurers wrote more than $3.1 billion in workers’ comp premiums in Florida in 2024 alone, according to the Florida Office of Insurance Regulation.

When a work-related injury or illness happens, Florida workers’ compensation provides a structured process to help get the injured employee the care and benefits they need. This type of coverage can also help to protect employers from some personal injury lawsuits related to on-the-job injuries.

Here’s how the process works, per the Florida Division of Workers’ Compensation:

1. Report the injury. The employee must report the work-related injury or illness to the business owner as soon as possible, and no later than 30 days from the date of the accident or from the date a doctor confirms the injury is work-related. Failing to report within 30 days could result in the claim being denied.
2. Get medical care. In Florida, the employer and insurance carrier generally have the right to direct the employee to an authorized treating physician. The insurance carrier must authorize follow-up treatment. Injured workers should not seek treatment from a private doctor without authorization, as this could affect their benefits.
3. The insurer reviews the claim. The employer notifies their Florida workers’ comp insurance carrier, which reviews the claim and determines what benefits apply based on the nature and severity of the injury.
4. Benefits are paid. Depending on the outcome, the insurer coordinates payment for authorized medical treatment — which could include doctor’s visits, hospitalization, physical therapy, prescription drugs and mileage reimbursement for travel to medical appointments — as well as a portion of lost wages if the employee cannot work due to the workplace injury.
5. The employee returns to work or receives ongoing benefits. Once the employee has been medically cleared, they can return to their role. If the injury results in a permanent impairment or prevents the employee from ever returning to work, ongoing disability or retraining benefits may apply.

It’s worth noting that the Florida workers’ compensation system operates under an “exclusive remedy” rule: When an employee receives workers’ comp benefits, they generally waive the right to sue their employer for negligence related to that injury. This provides a legal safeguard for Florida business owners.

Workers’ Comp exemption in Florida: Who qualifies?

While workers’ comp is required for many businesses, some businesses qualify for a Florida workers’ comp exemption, including:

• Corporate officers and LLC members who own at least 10% of the business may apply for an exemption through the Florida Division of Workers’ Compensation. Exemptions must be renewed every two years and aren’t automatic — you must apply.
• Sole proprietors and partners aren’t required to carry workers’ comp for themselves under Florida law, but they also aren’t automatically covered. A sole proprietor who wants coverage can choose to include themselves on a policy.
• Construction industry exception: The rules are stricter in construction. Construction corporate officers who want to be exempt must own at least 10% of the company, file an application with the Florida Division of Workers’ Compensation and pay the application fee. No more than three officers per corporation (or affiliated group of corporations) may hold an exemption at one time.

To apply for a Florida workers’ compensation exemption, file an exemption application with the Florida Division of Workers’ Compensation.

Important: A workers’ compensation exemption in Florida removes you from your company’s workers’ comp coverage. If you’re injured on the job as an exempt owner, your medical expenses and lost wages aren’t covered.

How much does Florida Workers’ Compensation cost?

Workers’ compensation costs vary across industries. Some factors that influence what you’ll pay for workers’ comp in Florida include:

• Your number of employees.
• The type of work your employees do and their assigned class codes.
• Your total payroll.
• Your insurance claims history and workplace safety record.
• The locations in Florida where your employees work.

The best way to determine the cost for your business to get Florida workers’ comp coverage is to get a free instant quote from ERGO NEXT.

How ERGO NEXT helps protect Florida business owners

ERGO NEXT has FL workers’ comp insurance that’s fast and flexible – and you can buy it 100% online in about 10 minutes.

Share unlimited certificates of insurance at no extra cost, and manage your policy 24/7 via web or mobile app.

If you have questions, our licensed, U.S.-based insurance professionals are available to help.

Start a free quote with ERGO NEXT.

More resources for Florida small business owners

• Small business Insurance in Florida
• General Liability Insurance in Florida
• Professional Liability Insurance in Florida
• Workers’ Compensation Insurance in Florida