At a glance. South Carolina sits near the middle of the country on workers' comp cost — ranked 29th of 51 jurisdictions, at $1.03 per $100 of payroll, about 94% of the national median, in Oregon's 2024 study (the latest available)[1]. Coverage is required at four employees, and part-timers count[2][3]. The 2026 maximum weekly benefit is $1,189.94[4].
South Carolina at a glance
| Cost rank | 29th of 51 (1 = most expensive); index rate $1.03 per $100 of payroll; 94% of the national median of $1.09 (Oregon 2024 study, latest available)[1][5] |
| Trend | Moved from 22nd in the 2022 study to 29th in 2024 — relatively cheaper than before[5] |
| Rating bureau | NCCI (see the bureau map) |
| Who must carry coverage | Employers who regularly have four or more workers, full-time or part-time[2][3] |
| Maximum weekly benefit (2026) | $1,189.94 for injuries on or after January 1, 2026 — equal to the state's average weekly wage for July 2024 to June 2025[4] |
| Benefits regulator | South Carolina Workers' Compensation Commission[3][4] |
Who has to carry workers' comp in South Carolina
Any employer that regularly has four or more workers, full-time or part-time, must carry workers' compensation[2]. The part-time point trips up small businesses: the Commission's own FAQ says part-time workers and family members are counted as employees[3].
The exemptions under S.C. Code §42-1-360 include[2]:
- Employers whose total payroll in the previous calendar year was under $3,000, no matter how many workers
- Agricultural employees and people selling agricultural products, unless the employer chooses to be covered
- Casual employees — work that is occasional or by chance, not regular
- Railroads and railway express companies, and federal employees
- State and county fair associations, unless they choose to be covered
- Owner-operator drivers, and certain commission-paid real estate agents who meet the statute's conditions
For agents: when a small insured says "we only have three full-timers," ask about part-timers and seasonal help before you agree they're exempt.
Benefit levels in 2026
The Commission sets the maximum weekly compensation rate each year at the state's average weekly wage for the prior fiscal year[4]. For injuries on or after January 1, 2026, the maximum is $1,189.94. The Commission's January 13, 2026 advisory replaced an earlier December 2025 order and applies back to January 1[4]. Higher benefit caps flow into claim costs over time, which is worth remembering when an insured with high-wage employees asks why claims cost more than they used to.
How South Carolina compares with its neighbors
From the Oregon Premium Rate Ranking (2024 study, the latest available), which prices the same job classes in every state[1][5]:
| State | Rank (1 = most expensive) | Index rate per $100 payroll | % of median |
|---|---|---|---|
| Alabama | 24 | $1.11 | 101% |
| Georgia | 26 | $1.09 | 100% |
| South Carolina | 29 | $1.03 | 94% |
| Florida | 30 | $1.00 | 92% |
| North Carolina | 33 | $0.95 | 87% |
| Tennessee | 39 | $0.80 | 73% |
For multi-state insureds in the Southeast, South Carolina is usually not the cost driver; Alabama and Georgia rank more expensive, and North Carolina and Tennessee rank cheaper[1]. Remember these are index rates for comparison — real premiums depend on class, mod, and carrier pricing[5]. See all 51 jurisdictions in the rates-by-state table.
Quick checklist for South Carolina accounts
- Count part-time and seasonal workers toward the four-employee threshold
- Confirm any exemption the insured claims against S.C. Code §42-1-360 before treating them as exempt[2]
- Use NCCI class codes and loss costs (South Carolina is an NCCI state)
- Check the experience mod worksheet before renewal — see the high-mod guide
Frequently asked questions
How many employees before workers' comp is required in South Carolina?
Four or more workers who are regularly employed, full-time or part-time. Employers whose payroll in the previous calendar year was under $3,000 are exempt regardless of headcount, among other exemptions in S.C. Code §42-1-360.
What is the maximum workers' comp weekly benefit in South Carolina for 2026?
$1,189.94 per week for injuries on or after January 1, 2026, equal to the state's average weekly wage for July 2024 through June 2025.
Is South Carolina workers' comp expensive?
It's near the middle. Oregon's 2024 Premium Rate Ranking puts South Carolina 29th of 51 jurisdictions, at $1.03 per $100 of payroll, about 94% of the national median.
Sources
- 2024 Workers' Compensation Premium Index Rates — Oregon Department of Consumer and Business Services, published June 2025. Accessed October 7, 2026.
- S.C. Code Title 42, Chapter 1 (§42-1-150 and §42-1-360) — South Carolina Legislature. Accessed October 7, 2026.
- Coverage and Compliance FAQs — South Carolina Workers' Compensation Commission. Accessed October 7, 2026.
- Advisory Notice (Update): 2026 Maximum Weekly Compensation Rate — South Carolina Workers' Compensation Commission, January 13, 2026. Accessed October 7, 2026.
- Oregon Workers' Compensation Premium Rate Ranking, Calendar Year 2024 (full report) — Oregon Department of Consumer and Business Services, June 2025. Accessed October 7, 2026.