New York Workers' Compensation Insurance
Everything you need to know about workers' comp in New York: when it's required, who's exempt, average rates, and how to get coverage in 60 seconds.
When is workers' comp required in New York?
Required for any employer with at least one employee, including part-time and family members.
Sole proprietor & partnership rules
Sole proprietors are exempt unless they elect; partnerships exempt for partners only.
Owner / corporate officer exclusion
Sole corporate officers and one- or two-person corps may exclude; LLC members may exclude.
New York-specific notes
New York uses its own bureau (NYCIRB) with extensive class codes. Construction has strict subcontractor verification (NYS WCB Form C-105.2).
How much does workers' comp cost in New York?
The average workers' comp rate in New York is approximately $1.41 per $100 of payroll. Your actual rate depends on your industry class code, claims history, payroll size, and carrier.
Example: a New York business with $100,000 in payroll at the state average rate would pay approximately $1,410 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 New York rate for your industry.
Get My New York Quote →New York workers' comp by industry
Industry-specific rates, common class codes, and requirements for New York businesses:
Frequently asked — New York workers' comp
Do I need workers' comp if I have only one employee in New York?
Yes — New York requires workers' comp coverage starting with one employee.
Are 1099 contractors covered under my New York workers' comp policy?
Generally no — true independent contractors are not employees and not covered. However, New York (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 New York?
Yes — most major carriers offer pay-as-you-go workers' comp in New York, with premium based on actual payroll each pay period instead of a large upfront deposit.
What if I'm being audited by my New York 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.