What a software company needs to know
Programming staff are generally rated in clerical or professional classifications. The main injury types are repetitive strain, back and neck problems from long hours at a desk, and the occasional office slip or fall.
Startups often hire their first employees in several states at once. Each state where employees regularly work generally needs to be listed on the policy, and requirements for including or excluding officers differ by state.
Cost and billing
Because rates are low, many small software companies pay at or near the carrier's minimum premium. Pay-as-you-go billing through a payroll provider is common and keeps the audit simple as headcount grows.
Who uses this coverage
- Software startups
- App and web development studios
- SaaS companies
- Game developers
- Data and analytics firms
- Freelance teams converting to employees
Software developers workers comp by state
Requirements and rating rules vary by state. Choose your state for the essentials, including who must carry coverage and who oversees it.
Frequently asked questions
Do founders need to be covered?
It depends on the entity type and state. Corporate officers are often included by default but may be able to exclude themselves; sole proprietors and partners are often excluded unless they choose coverage.
We have employees in several states. Do we need several policies?
Usually one policy can list multiple states. Monopolistic states such as Ohio, Washington, North Dakota and Wyoming require coverage through the state fund instead.
Is there a minimum premium?
Most carriers have one, so very small payrolls may pay a flat minimum rather than a calculated premium.