Workers' Compensation Insurance in Tennessee
Workers' compensation pays an employee's medical bills and part of their lost wages after a work injury. In most cases it also protects the business from being sued over that injury. Tennessee has specific rules about who must carry it, and construction businesses face the strictest ones. We write workers' comp for contractors, restaurants, retail shops, offices and other East Tennessee businesses, and we can get certificates out quickly when a job requires one.
Who must carry workers' comp in Tennessee
- Most businesses: employers with five or more employees, counting part-time workers, family members and corporate officers who meet the definition of employee
- Construction: employers with one or more employees. Construction business owners must either cover themselves or be listed on the state's construction exemption registry.
- Coal mining: employers with one or more employees
- Everyone else: businesses below the threshold can still buy coverage voluntarily, and many do to protect themselves and to qualify for jobs
Source: Tennessee Department of Labor and Workforce Development, Bureau of Workers' Compensation. For a question about your specific situation, ask us or call the Bureau at 800-332-2667.
What affects your premium
- Payroll, by job classification
- Your classification codes. A misclassified employee can cost you thousands at audit.
- Your experience modification factor, once your business is large enough to have one
- Safety programs and claims history
Avoid surprises at audit
Workers' comp premiums are estimated up front and adjusted at an annual audit based on your actual payroll. Uninsured subcontractors can be added to your payroll at audit, which often brings an unexpected bill. Collect certificates of insurance from every sub before they start, and keep them on file.
Contractors: see our contractor insurance page for general liability, tools and commercial auto alongside workers' comp.
Why Knoxville clients choose Elite Insurance Group
- Independent: we compare carriers like Travelers, Progressive, Liberty Mutual, Nationwide, Erie, Encova, Penn National and Foremost instead of selling one company's policy.
- Claims experience: our team brings 25+ years of insurance and claims experience, so we write coverage with the claim in mind.
- No agency or broker fees: you pay the carrier's premium, nothing extra to us.
- Local: a family-owned Knoxville agency serving Knox, Blount, Anderson, Loudon, Sevier and Roane counties.
Frequently asked questions
Do I need workers' comp if I only have part-time employees?
Part-time workers count toward Tennessee's five-employee threshold. If you're a construction business, one employee is enough to require coverage.
I'm a sole proprietor in construction. Do I need to cover myself?
Tennessee requires construction business owners to either carry coverage on themselves or be listed on the Secretary of State's construction exemption registry.
Why did my premium go up after the audit?
Usually because actual payroll was higher than estimated, an employee was in a different classification, or uninsured subcontractors were added. We review classifications up front to cut down on audit surprises.
Can I get a certificate of insurance the same day?
In most cases, yes. Call or email us with the certificate holder's details and we'll send it over.
Related coverage
Contractor insurance · Restaurant insurance · Business insurance by industry
Get a quote
Tell us what you need and a licensed local agent will follow up. Start your workers' comp quote or call (865) 687-5140, Monday to Friday, 9 to 5.