Alaska Workers' Compensation Insurance
Everything you need to know about workers' comp in Alaska: when it's required, who's exempt, average rates, and how to get coverage in 60 seconds.
When is workers' comp required in Alaska?
Required for any employer with one or more employees.
Sole proprietor & partnership rules
Sole proprietors and partners are exempt unless they elect coverage.
Owner / corporate officer exclusion
Corporate officers and LLC members can elect to be excluded.
Alaska-specific notes
Among the highest workers' comp rates in the country due to high cost of medical care and remote labor.
How much does workers' comp cost in Alaska?
The average workers' comp rate in Alaska is approximately $2.25 per $100 of payroll. Your actual rate depends on your industry class code, claims history, payroll size, and carrier.
Example: a Alaska business with $100,000 in payroll at the state average rate would pay approximately $2,250 per year. A clerical-only business (class code 8810) would pay much less; a roofing contractor (5551) would pay much more.
Want an exact rate for your business?
Class code rates vary widely. Get a free quote and we'll look up your exact Alaska rate for your industry.
Get My Alaska Quote →Alaska workers' comp by industry
Industry-specific rates, common class codes, and requirements for Alaska businesses:
Frequently asked — Alaska workers' comp
Do I need workers' comp if I have only one employee in Alaska?
Yes — Alaska requires workers' comp coverage starting with one employee.
Are 1099 contractors covered under my Alaska workers' comp policy?
Generally no — true independent contractors are not employees and not covered. However, Alaska (like most states) applies an "ABC test" or similar to determine if a 1099 worker is actually a misclassified employee. If they're misclassified, you may owe back premium and penalties. Many general contractors require their 1099 subs to carry their own workers' comp.
Can I get pay-as-you-go workers' comp in Alaska?
Yes — most major carriers offer pay-as-you-go workers' comp in Alaska, with premium based on actual payroll each pay period instead of a large upfront deposit.
What if I'm being audited by my Alaska workers' comp carrier?
Workers' comp audits often result in additional premium owed because of misclassified employees, missed payroll, or wrong class codes. We offer free audit reviews and can dispute incorrect classifications with your carrier. In many cases we save clients thousands.