Washington Workers' Compensation Insurance
Everything you need to know about workers' comp in Washington: when it's required, who's exempt, average rates, and how to get coverage in 60 seconds.
When is workers' comp required in Washington?
All employers must obtain coverage through Washington Department of Labor & Industries (L&I) — monopolistic state.
Sole proprietor & partnership rules
Sole proprietors are exempt unless they elect to enroll with L&I.
Owner / corporate officer exclusion
Officers and LLC members may be excluded.
Washington-specific notes
Monopolistic state — all coverage through Washington L&I. No private workers' comp insurance available.
⚠️ Monopolistic state
Washington requires all employers to purchase workers' compensation coverage through the state fund. Private workers' comp insurance is not available. We can help with employer's liability insurance ("stop-gap" coverage) that complements the state fund.
How much does workers' comp cost in Washington?
The average workers' comp rate in Washington is approximately $1.16 per $100 of payroll. Your actual rate depends on your industry class code, claims history, payroll size, and carrier.
Example: a Washington business with $100,000 in payroll at the state average rate would pay approximately $1,160 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 Washington rate for your industry.
Get My Washington Quote →Washington workers' comp by industry
Industry-specific rates, common class codes, and requirements for Washington businesses:
Frequently asked — Washington workers' comp
Do I need workers' comp if I have only one employee in Washington?
Washington requires all employers to obtain coverage through the state fund regardless of employee count.
Are 1099 contractors covered under my Washington workers' comp policy?
Generally no — true independent contractors are not employees and not covered. However, Washington (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 Washington?
Washington uses a state fund, which has its own quarterly reporting/billing model.
What if I'm being audited by my Washington 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.