Minnesota Workers' Compensation Cost Calculator
Key facts: workers' comp in Minnesota
- Who must be covered
- Mandatory starting at 1 employeeOfficial agency: DLI
- Average rate
- $1.25 per $100 of payrollRank #17 of 51 (#1 = most expensive), above the $1.09 national median
- Rating organization
- MWCIAMinnesota Workers' Compensation Insurers Association (MWCIA) · independent rating bureau · Private insurers
- Verified from official records
- October 3, 2026Rates: Oregon DCBS study, June 2025
Minnesota has no minimum number of employees: an employer with only one part-time employee generally must provide workers' comp. Insurance is bought through an agent or directly from an insurance company; unlike North Dakota, the state doesn't sell it.
Rates in effect January 1, 2024 · Oregon Department of Consumer and Business Services, 2024 study (June 2025) · Nothing you enter leaves your browser
2024 study rate for all industries in Minnesota. Edit it if your policy shows a different rate.
For the class you're pricing. Insurers rate each class code's payroll separately.
Printed on your experience rating worksheet or renewal. New or small employers that don't qualify for experience rating are rated at 1.00.
Estimated premium
$12,500
per year at an EMR of 1.00
At an average mod
$12,500
per year at an EMR of 1.00
Your EMR's impact
$0
no adjustment
Effective cost: $1.25 per $100 of payroll.
At an EMR of 1.00, your claims history neither raises nor lowers this premium.
Every claim from now on counts toward your next three renewals. IncidentLog makes the first step — a complete, same-day incident report — take about 90 seconds from a job-site QR code.
Create a free accountEstimate before schedule credits or debits, premium discounts, expense constants, state assessments and minimum premiums — your insurer's quote will differ.
Who must carry workers' comp in Minnesota?
Mandatory starting at 1 employee
Even a single part-time employee generally counts.
Official agency
Minnesota Department of Labor and Industry (DLI)
Market: Private insurers · Law: Minn. Stat. § 176.181
Minnesota workers' comp rates by business type
Rate per $100 of payroll for common class codes in Minnesota, against the median of the 51 jurisdictions in the study.
| Business type (NCCI code) | Minnesota | U.S. median | Difference |
|---|---|---|---|
| Office and clerical staff (8810) | $0.12 | $0.11 | +9% |
| Retail store (8017) | $1.46 | $1.20 | +22% |
| Restaurant (full service) (9082) | $1.19 | $1.09 | +9% |
| Restaurant (fast food) (9083) | $1.18 | $1.09 | +8% |
| Hotel (all other employees) (9052) | $1.91 | $1.79 | +7% |
| Assisted living / retirement center (care staff) (8824) | $3.04 | $2.03 | +50% |
| Hospital (professional staff) (8833) | $1.03 | $0.82 | +26% |
| Electrical contractor (5190) | $2.67 | $2.37 | +13% |
| Plumbing contractor (5183) | $2.96 | $2.70 | +10% |
| Residential carpentry (up to 3 stories) (5645) | $28.00 | $8.71 | +221% |
| Roofing (5551) | $4.24 | $9.64 | −56% |
| Trucking (7219) | $2.95 | $5.72 | −48% |
Minnesota doesn't use NCCI class codes; the study maps each class to the closest Minnesota equivalent. Your insurer applies the rate for your own classes, then your EMR.
What a bad EMR costs in Minnesota
Take $500,000 of payroll at Minnesota's $1.25 index rate: $6,250 a year at an average mod of 1.00.
- EMR 0.85
- $5,313/yr
- EMR 1.25
- $7,813/yr
- Difference
- +$2,500/yr
A claim year usually stays in the mod for three renewals, so the gap adds up to about $7,500. The mod is built from claims, and the cheapest claim is the injury caught early.
IncidentLog lets crews report an injury or near miss from a job-site QR code in about 90 seconds, so you hear about it the same shift and see patterns on your OSHA 300 log before they become claims.
Create a free accountMinnesota workers' comp FAQ
Is workers' comp insurance mandatory in Minnesota?
Yes. Minnesota requires workers' compensation coverage from the first employee (Minn. Stat. § 176.181). Even a single part-time employee generally counts. Source: Minnesota Department of Labor and Industry.
How are workers' comp rates set in Minnesota?
Employers buy coverage from private insurance companies. Minnesota doesn't use NCCI: the Oregon DCBS study lists an independent bureau, the Minnesota Workers' Compensation Insurers Association (MWCIA), as its rating organization. Your own premium then depends on your class codes, your payroll and your experience modification rate (EMR).
What is the average workers' comp rate in Minnesota?
The Oregon Department of Consumer and Business Services's 2024 study puts Minnesota's all-industry index rate at $1.25 per $100 of payroll for rates in effect on January 1, 2024, 114% of the study's national median of $1.09. That ranks Minnesota #17 of 51 jurisdictions, where #1 is the most expensive (#12 in the 2022 study). Your own rate depends on your class codes.
Sources
Official texts behind this page (3 quotes)
“There is no minimum number of employees an employer must have before insurance is required; therefore, an employer with only one part-time employee generally must provide coverage.”
Who needs workers' compensation coverage? — Minnesota Department of Labor and Industry (opens in a new tab) · checked October 3, 2026
“Workers' compensation insurance in Minnesota may be purchased through an insurance agent or directly from an insurance company. Although some states (North Dakota is an example) provide workers' compensation insurance directly to employers, Minnesota and most other states do not.”
How to obtain workers' compensation insurance — Minnesota Department of Labor and Industry (opens in a new tab) · checked October 3, 2026
“Minnesota Statutes 176.181 gives the commissioner of the Department of Labor and Industry the authority to enforce the mandatory coverage laws.”
What happens when employers fail to carry insurance — Minnesota Department of Labor and Industry (opens in a new tab) · checked October 3, 2026
An estimate for planning, not a quote, legal or insurance advice. IncidentLog is not an insurer or broker. Median rate across all industries: $1.09 per $100.