The Indiana state law requires an employer to “insure the payment of compensation to the employer’s employees and their dependents.” Indiana allows the employer to find a work comp policy through an open insurance market. Other states may have a state-based program that an employer is required to pay into.

Rates for these insurance plans are rated based on the exposure of the job being performed. A construction worker working from large heights will be more expensive than an assistant who works at a lawyer’s office. The rate is based on risk of serious injury or disease. However, many insurance carriers provide credits or preferred pricing to companies who have a good loss history.