Workers Comp in Monopolistic States: ND, OH, WA, WY (2026)

Operating in one of the four monopolistic states? Here is exactly what you need to do — and how to get your other coverages from private carriers. Updated August 2026.

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What Is a Monopolistic Workers Comp State?

In most states, you can purchase workers compensation insurance from any of dozens of private carriers competing on price and service. In four states, the government has made this illegal — they run the only authorized workers comp fund, and private carriers cannot sell WC policies there.

This is a common source of confusion for business owners operating in multiple states, or for those relocating to or expanding into one of these four states. The key takeaway: workers comp goes to the state fund; everything else (GL, BOP, commercial auto) still comes from private carriers like ERGO NEXT.

The Four Monopolistic States: How to Comply

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North Dakota

State Fund: ND Workforce Safety & Insurance (WSI)

Website: workforcesafety.com

Register by: Before hiring your first employee

All employers with ND employees must register, including out-of-state employers sending workers to ND

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Ohio

State Fund: Ohio Bureau of Workers Compensation (BWC)

Website: bwc.ohio.gov

Register by: Before hiring; coverage is retroactive from first hire date

Pay-as-you-go option available; large employers may self-insure; Ohio also has a competitive state fund model

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Washington

State Fund: WA Department of Labor & Industries (L&I)

Website: lni.wa.gov

Register by: Before hiring; report and pay quarterly

L&I assesses premiums quarterly based on actual payroll; rates vary by risk classification

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Wyoming

State Fund: WY Department of Workforce Services (DWS)

Website: wyomingworkforce.org

Register by: Before starting operations in WY

Premiums based on payroll and industry class; out-of-state employers need separate registration

What You Still Need From Private Carriers

Even in monopolistic states, all your other business insurance comes from private carriers. Here is what ERGO NEXT can provide:

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General Liability

Required for contractor licenses, clients, and commercial leases — regardless of which state you are in.

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Commercial Property / BOP

Covers your business equipment, inventory, and physical assets. Not affected by monopolistic WC laws.

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Commercial Auto

Covers vehicles used for business. State WC funds do not cover commercial auto — this always comes from private carriers.

Get Your GL and Other Coverage Today

ERGO NEXT covers GL, BOP, and commercial auto in all 50 states including monopolistic WC states.

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Monopolistic States FAQs

In a monopolistic state, the government has established a state-run workers compensation fund and banned private insurance carriers from selling WC policies. This gives the state a monopoly on workers compensation insurance. Employers in these states have no choice of carrier — they must buy from the state fund or qualify for self-insurance (available only to very large employers).