Best Workers Comp Insurance for Contractors in 2026

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Workers comp for contractors is priced differently than workers comp for office businesses. The classification codes for roofing, framing, masonry, and electrical work carry loss rates two to five times higher than clerical work, and many standard market carriers decline them entirely. Finding the right carrier means finding one that actively writes your trade at a fair rate, handles claims on a job-site timeline, and does not penalize you for normal contractor volatility in payroll.

Quick Summary

Provider	Best For	Avg Annual Cost (5-person crew)
Next Insurance	Small contractor crews wanting digital coverage	$4,800/yr
Pie Insurance	Trade contractors declined by standard markets	$4,200/yr
The Hartford	Contractors wanting workers comp + GL bundled	$5,200/yr
Employers Holdings	Mid-sized contractor operations (10-50 employees)	Quote-based
Simply Business	Comparing multiple carrier quotes at once	Varies

Cost estimates for a 5-person general contracting crew in Texas with $350,000 payroll. Rates vary significantly by trade, state, and loss history.

Why We Picked These Providers

These five cover the range of contractor workers comp needs: digital-first coverage for small operations, specialty markets for elevated trade classifications, bundled programs for multi-line buyers, and a comparison tool for shopping multiple carriers. We excluded carriers that require broker-only access for contractors, do not write high-hazard trades, or have consistently slow claims handling in contractor markets.

Provider Reviews

Next Insurance

Next Insurance writes workers comp for the most common contractor trades digitally: general contracting, carpentry, painting, plumbing, electrical, HVAC, landscaping. The application produces a quote in under five minutes and includes pay-as-you-go billing tied to actual payroll runs.

Best for: Small contractor operations (1-10 employees) in standard trades. Contractors who want workers comp and GL from the same carrier. Owner-operators who value fast digital access over premium optimization.

What it costs: $4,200 to $7,500 per year for a 5-person crew depending on trade and state. Electrical and HVAC typically price higher than painting and carpentry within the same payroll base.

One thing to watch: Next Insurance does not write all contractor classification codes. Roofing, structural steel, excavation, and demolition are often outside their appetite. Check availability for your specific class code before relying on them.

Affiliate link: Get a workers comp quote from Next Insurance

Pie Insurance

Pie focuses exclusively on workers comp for small and mid-sized businesses, with particular depth in contractor classifications that standard carriers decline or price too high. They use technology to underwrite roofing, masonry, HVAC, and other elevated-risk trades at competitive rates.

Best for: Roofers, masons, structural framers, and other contractors in high-hazard classifications that get quoted high by generalist carriers. Contractors who have been declined elsewhere or received uncompetitive quotes.

What it costs: $3,800 to $6,500 per year for a 5-person crew in most trade classifications. Pie often beats standard market rates on roofing and masonry by 15 to 25 percent for businesses with clean loss histories.

One thing to watch: Pie is a newer entrant without the claims-handling infrastructure of The Hartford. For large claims involving hospitalization or long-term disability, their digital claims process may feel thin compared to carriers with dedicated field adjusters.

The Hartford

The Hartford has one of the broadest contractor workers comp books in the US market. They write most contractor trades in most states and have deep experience handling construction claims, including multi-party job site incidents with multiple insurers involved.

Best for: Contractors with 10 or more employees who also need GL and commercial auto. Businesses that want a single carrier managing their full commercial insurance portfolio.

What it costs: $4,800 to $8,000 per year for a 5-person crew. Not the cheapest single-line option, but bundling can reduce total premium across multiple lines.

One thing to watch: The Hartford uses traditional annual payroll audits rather than pay-as-you-go billing. Contractors with volatile payroll (seasonal work, variable subcontractor counts) may face audit true-ups at year end.

Employers Holdings

Employers Holdings (formerly Employers Insurance) specializes in small and mid-sized business workers comp with strong contractor programs in most states. They are an admitted carrier with strong AM Best ratings and deep experience in contractor loss management.

Best for: Contractors with 10 to 50 employees across most standard and elevated trade classifications. Operations that have outgrown the digital small-business carriers but are not large enough to access specialty construction programs.

What it costs: Employers Holdings provides customized quotes based on payroll, classification, and loss history. Typically competitive with The Hartford on contractor classifications.

One thing to watch: Employers Holdings works primarily through independent agents. You will need a broker to get their best pricing, which adds a step compared to the direct-digital carriers.

Simply Business

Simply Business is a comparison marketplace that generates contractor workers comp quotes from multiple carriers in one application. For contractors shopping on price, it is a useful tool to benchmark multiple options without applying separately to each carrier.

Best for: Contractors who want to compare multiple quotes before committing. Useful for verifying that a direct-carrier quote is competitive.

What it costs: No additional fee from Simply Business. You pay the carrier rate selected. Quotes come from their network of carriers, which may not include Pie Insurance.

One thing to watch: Simply Business does not write every contractor classification. Higher-hazard trades may not get quotes from their network. Supplement with a direct Pie Insurance quote for those classifications.

How We Evaluated These Providers

Classification breadth. We evaluated which carriers write the widest range of contractor trade codes, with emphasis on elevated-hazard classifications (roofing, structural, excavation) that many carriers decline.

Financial strength. AM Best ratings: Next Insurance (A-), Pie Insurance (A-), The Hartford (A+), Employers Holdings (A), Simply Business varies.

Claims handling. Contractor claims often involve active job sites, multiple involved parties, and return-to-work timelines that affect project continuity. We evaluated each carrier's claims reputation in contractor-specific contexts.

Pay-as-you-go availability. Contractors with seasonal payroll benefit significantly from pay-as-you-go billing. Next Insurance and some Simply Business carriers offer this.

State-specific note on Washington, North Dakota, Ohio, and Wyoming. These four states have monopolistic state workers comp funds. Private carrier workers comp is not available. If you operate in any of these states, contact the state fund directly.

How to Get a Quote

Start with Next Insurance for standard trades. If you are a roofer, structural contractor, or have a higher-hazard trade classification, add Pie Insurance. For operations with 10 or more employees, also get a quote from The Hartford to see whether multi-line bundling saves money overall.

Frequently Asked Questions

Does workers comp cover subcontractors?

No automatically. Subcontractors are generally not covered under your workers comp policy unless they are classified as employees. Most states require that subcontractors carry their own workers comp or you carry coverage for their work on your jobs. GCs often require certificates from all subs before allowing them on site.

What classification code does my trade use?

Classification codes are assigned by NCCI (National Council on Compensation Insurance) in most states and vary by trade activity. A general contractor who primarily performs framing uses a different code than one who does finish carpentry. Misclassification is common and affects both your premium and your coverage. Confirm your classification code with your carrier at the time of application.

How does experience modification affect my rate?

Your experience modifier (e-mod) compares your actual loss history to the expected losses for your industry. A clean loss history earns a credit mod below 1.0, reducing your premium. High claims push the mod above 1.0, increasing premium. New businesses typically start at 1.0. The modifier recalculates each year based on the prior three policy years.

What happens if a worker is injured on a client's job site?

Workers comp covers medical treatment and lost wages regardless of where the injury occurs, including on a client's property. Your GL policy covers third-party liability (damage to the client's property or injury to others). The two policies work alongside each other on a single job site incident.

Can I reduce my workers comp premium mid-year?

You can update your estimated payroll if it changes significantly during the policy year. A material reduction in payroll (more than 25 percent) warrants notifying your carrier to adjust the deposit premium. Pay-as-you-go billing automatically adjusts without mid-year corrections.

Sources

• National Council on Compensation Insurance (NCCI): ncci.com
• Next Insurance workers comp: next.insurance/workers-comp
• Pie Insurance: pieinsurance.com
• The Hartford workers compensation: thehartford.com/workers-compensation
• Employers Holdings: employers.com
• AM Best ratings: ambest.com
• OSHA construction industry statistics: osha.gov/construction