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Indiana Workers’ Compensation Insurance

You can save up to 25% in discounts on business insurance.*

Workers’ Compensation can help pay for:

Medical expenses

Medical expenses

Includes examinations, treatments and rehabilitation.

Lost wages

Lost wages

Gives employees time to recover from an injury before returning to work.

Retraining

Retraining

Helps employees who need to learn skills and enter a new field.

Permanent injury

Permanent injury

Provides benefits for employees who can no longer work due to injury.

Is Workers’ Compensation insurance required in Indiana?

Most employers in Indiana are required to have workers’ compensation insurance.1 Generally, the requirement applies to all businesses with one or more employees.

Workers can find out whether an employer has workers’ comp coverage by using an online search tool provided by the Indiana Workers’ Compensation Board.2

Businesses are required to have this coverage in order to protect workers who get hurt on the job. If a work-related injury or illness occurs, workers’ compensation insurance helps pay for benefits like:

  • Medical care
  • Vocational rehabilitation
  • Lost wages

This is beneficial for the employer as well since it minimizes their financial liability when workplace injuries occur.

Who is exempt from Workers’ Compensation insurance in Indiana?

There are certain types of employees that are exempt from the Indiana workers’ compensation insurance requirement.3 Some of these employee groups include:

  • Casual laborers
  • Farm or agricultural employees
  • Household employees
  • Licensed real estate agents
  • Independent contractors hired by non-profit organizations for youth coaching services

Employers may still choose to obtain workers’ comp coverage for these employees, but they are not required to according to state law.

Workers’ Compensation owner’s coverage

Generally, the following types of business owners are not required to obtain workers’ compensation coverage for themselves:

  • Independent contractors
  • Sole proprietors
  • Partners in a partnership
  • Limited liability company members or managers

Business owners who are exempt from the requirement under Indiana workers’ compensation law must get a worker’s compensation exemption certificate clearance from the Indiana Department of Revenue.4

Even if you’re not required to have coverage as a business owner, you may want to have it in case an accident does occur on the job.

For example, if you’re a wedding photographer and you fall and injure your back during a client’s reception, you’ll need a few weeks to recover. If you have workers’ comp insurance, it can help cover your medical expenses and lost wages during that time.

Self-insurance for Indiana Workers’ Compensation

Some employers in the state may choose to self-insure their business for workers’ compensation benefits. This means they pay out benefits to workers directly rather than relying on an insurance policy to cover the costs when workplace accidents occur.

To become eligible for this option, an employer must have been in business for at least five years and be able to demonstrate a certain level of financial strength and liquidity. In addition, they must secure a surety bond for a minimum of $500,000.5

The fee for an initial self-insurance application is $500. Renewal fees are $250 for employers who currently hold a certificate of self-insurance.

How does Workman’s Comp work in Indiana?

There are a number of important employee benefits that are provided through workers’ comp. Indiana employees may receive payments to cover the following if they are injured on the job:

  • Medical treatment
  • Wage replacement
  • Vocational rehabilitation
  • Death benefits

Injuries can happen in any line of work, which is why it’s so important for all employees to be covered by workers’ comp insurance.

For example, an office employee’s chair could break, causing them to fall backward, hit their head and sustain a concussion. Workers’ comp would help cover the costs of medical care, including emergency treatment and follow-up appointments, as well as lost income during their recovery period.

Workers’ Comp income benefits in Indiana

Common types of workers’ compensation income benefits in Indiana include:

Temporary partial disability

An injury forces the employee to work in a limited capacity until they are recovered.

Permanent partial impairment

An injury has permanent effects which affect the employee’s ability to work in the same capacity.

Temporary total disability

An injury is severe enough to prevent the employee from returning to work until they are sufficiently recovered.

Total permanent disability

An injury is severe enough to permanently limit the employee’s ability to work.

If an employee dies due to a work-related injury or illness, their dependents may be eligible for death benefits covered by workers’ compensation. Indiana law states that burial expenses of up to $10,000 may also be covered.6

Employer responsibilities for Workers’ Compensation insurance

Employers have a few important responsibilities that extend beyond simply obtaining the required insurance for workers’ comp. Indiana employers must also:

  • Keep a record of all employee injuries
  • Report employee injuries to their insurance carrier within seven days
  • Post a notice of insurance in their place of business that includes the insurance carrier’s name and contact information

Indiana Workers’ Compensation insurance reciprocity

According to Indiana workers’ compensation law, employees are covered by their employers’ workers’ comp insurance even when working out of state or in a foreign country.7

Are there penalties for not having Workers’ Comp coverage?

Civil penalties may be imposed for violations of Indiana workers’ compensation law, such as failing to report an injury within the required time frame or not posting a notice of insurance coverage in the workplace.8 The schedule of penalties for these violations is as follows:

  • $50 for the first violation
  • $150 for the second violation
  • $300 for the third violation

What are the rates for Workers’ Compensation in Indiana?

The cost of your premiums for workers’ compensation insurance will be determined by the insurance carrier. Generally, the key factors which affect workers’ comp rates include:

  • The risk of work-related injury or illness
  • The number of employees on your payroll
  • Where your business operates
  • Your history of previous claims

How NEXT Insurance helps Indiana businesses

NEXT Insurance specializes in business insurance for small businesses and sole proprietors, so we can help you get the right workers’ compensation insurance policy for your needs.

We make it easy to complete the whole process online. In fact, most customers can get a quote, review their coverage options, purchase insurance and have their certificate of insurance ready to go in about 10 minutes.

Start an instant quote online today.

Need some help figuring out what insurance you need? Our licensed, U.S.-based insurance advisors are standing by to assist you via online chat or phone.

Other business insurance policies that are important in Indiana

Besides workers’ compensation insurance, you’ll need additional coverage to make sure you’re protected from all the risks you face every day. Some of the other policies you may want to add to your Indiana business insurance package include:
We typically recommend:
General Liability
General Liability Insurance

General liability insurance is the most common insurance for small businesses and self-employed professionals. It provides protection for common work-related accidents, like property damage and customer injuries.



Commercial Auto
Commercial Auto insurance

You’ll need commercial auto insurance if you or your employees drive for work. If a business vehicle is involved in an accident, this insurance helps cover the related expenses.



Errors & Omissions
Professional Liability insurance (E&O insurance)

Professional liability insurance protects your business against civil lawsuits and negligence claims related to professional mistakes.



Customer reviews

I am so excited
I am totally excited about my new insurance for my small business. I am happy that the price was in a range that I can afford, the terms were easy to understand and it was so simple to purchase my first policy. I look forward to doing business with you in the future.
Curzella J.
Easiest insurance purchase – EVER!
I was looking around trying to compare insurance and I am so lucky I found NEXT. I was able to compare levels of coverage, and all the options, without pressure from a salesperson or time limits. I was able to check out prices and it was more coverage for less than the “traditional” company I looked at.
Michael W.
Happy small business owner!
I needed liability insurance for my new small business brick & mortar location. I got the run around from another company, but NEXT provided a competitive insurance quote in a timely manner. I now have the insurance that I need and it was stress-free!
Nicole E.

Let’s find the coverage you need for your business

Business insurance is divided into different policies. We offer seven types so it's easy to design the coverage that fits your business.

General Liability insurance
General Liability

Protect yourself from accidents that cause physical injury or damaged property.

Professional Liability or Error and Omissions Insurance
Professional Liability/E&O

Shield yourself from lawsuits that claim your work errors caused financial losses.

Workers' Compensation Insurance
Workers’ Compensation

Cover medical bills and lost wages if your employees have an accident at work.

Commercial Auto Insurance
Commercial Auto

Stay on the road with coverage for dents, tows and damage to someone else’s vehicle.

Tools & Equipment Insurance
Tools & Equipment

Upgrade your general liability coverage to protect any gear that’s stolen, damaged or lost.

Commercial Property Insurance
Commercial Property

Keep your building, inventory and equipment protected from fire or water damage.

Business Owner’s Policy Insurance
Business Owner’s Policy

Combine general liability and commercial property into one policy to protect your business.

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* To the extent permitted by law, applicants are individually underwritten, not all applicants may qualify. Individual rates and savings vary and are subject to change. Discounts and savings are available where state laws and regulations allow, and may vary by state. Certain discounts apply to specific coverages only.
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Issuance of coverage is subject to underwriting. Not available in all states. Please see the policy for full terms, conditions and exclusions. Coverage examples are for illustrative purposes only. Your policy documents govern, terms and exclusions apply. Coverage is dependent on actual facts and circumstances giving rise to a claim. Next Insurance, Inc. and/or its affiliates is an insurance agency licensed to sell certain insurance products and may receive compensation from insurance companies for such sales. Policy obligations are the sole responsibility of the issuing insurance company. Refer to Legal Notices section for additional information.