Saving Money on Workers’ Compensation Insurance

Workers’ compensation is a fact of business life for the overwhelming majority of employers in the United States. In fact, for many companies, worker’s compensation insurance premiums make up a significant line item on many balance sheets. While a variety of factors influence how much a company must pay for coverage, smart business executives work with an experienced workers’ compensation insurance broker to save as much as they can.

Keeping Costs Low

To control costs, worker’s compensation insurance specialists typically recommend employers take the following three steps:

  • Start a Safety Program
  • Utilize a Return-to-Work Incentive
  • Join an Organization

While there are many strategies for saving money on workers’ compensation insurance premiums, these three suggestions are often critical in keeping costs low.

Safety Programs

To lower worker’s compensation costs, employers often implement safety programs. While these programs differ between companies, successful ones work to identify and mitigate workplace risks and safety hazards.

Return-to-Work Incentives

Generally, the quicker an injured employee can return to work, the cheaper the workers’ compensation insurance claim. Thus, employers that incentivize returning to work often have lower premiums than those that allow employees to stay off the job for a long time.


Finally, by working with a skilled workers’ compensation insurance broker, some employers save money by joining a professional employer organization.