When is workers' compensation required in Virginia?

When an employer regularly employs more than two part-time or full-time employees — meaning three or more.

Can Virginia employees waive workers' comp?

No. For employers who meet the threshold, coverage is mandatory and employees cannot be excluded.

Do subcontractors count toward the employee threshold?

Yes — subcontractor employees performing the same trade or fulfilling a contract may count when determining whether you meet the 3+ employee threshold.

Who administers Virginia workers' compensation?

The Virginia Workers' Compensation Commission oversees compliance, claims, and employer requirements.

Virginia Workers' Compensation Insurance

Brief overview of Virginia workers' compensation — 3+ employee threshold, employer duties, and official resources.

Overview

Workers' compensation provides benefits for work-related injuries and illnesses. In Virginia, it is state-mandated for many employers.

See our workers' compensation explainer and Virginia business insurance guide for details.

Coverage Options to Consider

Workers' comp is not optional for qualifying employers — coverage is obtained from a Virginia-licensed carrier, approved self-insurance, or registered PEO.

It covers employee medical treatment and wage replacement; it does not replace general liability or commercial auto.

State Requirements & Regulations

Threshold: Employers who regularly employ more than two employees (3+) must carry coverage. Part-time, seasonal, and subcontractor employees performing the same trade may count.

No waivers for qualifying employers. Virginia-specific coverage is required for work performed in Virginia.

Administered by the Virginia Workers' Compensation Commission.

Compare: Maryland and D.C. require coverage at 1+ employee — important if you operate across the DMV.

Factors That May Affect Your Premium

Payroll, employee job classifications (risk codes), claims history (experience mod), and industry type drive workers' comp premiums. Rates are filed with the state; the Commission does not set premiums.

Frequently Asked Questions

When is workers' compensation required in Virginia?: When an employer regularly employs more than two part-time or full-time employees — meaning three or more.
Can Virginia employees waive workers' comp?: No. For employers who meet the threshold, coverage is mandatory and employees cannot be excluded.
Do subcontractors count toward the employee threshold?: Yes — subcontractor employees performing the same trade or fulfilling a contract may count when determining whether you meet the 3+ employee threshold.
Who administers Virginia workers' compensation?: The Virginia Workers' Compensation Commission oversees compliance, claims, and employer requirements.

Sources & References

Virginia Workers' Compensation Commission — Employers — Virginia Workers' Compensation Commission
Workers' Compensation Insurance Explained — US Insurance Guide
Business Insurance in Virginia — US Insurance Guide