Workers' Compensation Insurance for Myrtle Beach Businesses

What Is Workers' Compensation Insurance?

Workers' compensation insurance provides benefits to employees who suffer work-related injuries or occupational illnesses. This coverage pays for medical treatment, rehabilitation, and lost wages while protecting employers from lawsuits related to workplace injuries. For Myrtle Beach businesses with employees, workers' compensation isn't optional—South Carolina law requires it.

The workers' comp system creates a trade-off that benefits both sides. Employees receive guaranteed benefits for workplace injuries without needing to prove employer negligence. In exchange, employers gain protection from employee lawsuits through what's called the exclusive remedy provision. This system keeps injured workers supported and businesses protected from unpredictable litigation.

Why Myrtle Beach Businesses Need Workers' Compensation Insurance

Workplace injuries happen in every industry. A restaurant worker in Murrells Inlet slips in the kitchen. A construction laborer in Conway falls from scaffolding. An office employee in North Myrtle Beach develops carpal tunnel syndrome. When employees get hurt on the job, workers' compensation coverage responds.

• South Carolina law requires it — Businesses with four or more employees must carry workers' compensation insurance. Construction companies need coverage with even one employee. Operating without required coverage exposes you to serious penalties.


• Medical costs are substantial — A serious workplace injury can generate medical bills exceeding $100,000. Workers' comp pays these expenses so your business doesn't have to absorb them directly.


• Lost wage claims add up — When employees can't work due to job-related injuries, workers' compensation replaces a portion of their income. Without coverage, you'd face pressure to pay wages out of pocket or risk losing valuable employees.


• Lawsuits are expensive to defend — Workers' compensation's exclusive remedy provision generally prevents employees from suing you for workplace injuries. Without coverage, you lose this protection and face potential litigation.


• Penalties for non-compliance are severe — South Carolina can impose fines, stop-work orders, and even criminal charges against employers who fail to maintain required workers' compensation coverage.

What Does Workers' Compensation Insurance Cover?

Workers' compensation policies provide comprehensive benefits for work-related injuries and illnesses. Here's what Myrtle Beach employers should understand about coverage:

Medical Expenses

Workers' comp pays for all reasonable and necessary medical treatment related to workplace injuries. This includes emergency room visits, hospitalization, surgery, physician appointments, prescription medications, physical therapy, and medical equipment. There's no deductible or copay for employees—coverage pays from the first dollar.

Lost Wage Benefits

When injuries prevent employees from working, workers' compensation replaces a portion of their lost income. South Carolina pays two-thirds of the employee's average weekly wage, subject to state maximum limits. Benefits begin after a waiting period, though that waiting period is waived if disability extends beyond a specified duration.

Disability Benefits

Workers' compensation provides different benefit levels based on disability severity:

Temporary Total Disability — Paid when employees cannot work at all while recovering. Benefits continue until they return to work or reach maximum medical improvement.

Temporary Partial Disability — Paid when employees can work in a limited capacity but earn less than their pre-injury wage. Benefits make up a portion of the wage difference.

Permanent Partial Disability — Paid when employees suffer lasting impairment but can still work. Benefits are calculated based on the body part affected and degree of impairment.

Permanent Total Disability — Paid when employees can never work again due to their injuries. These cases involve the most serious workplace accidents.

Vocational Rehabilitation

When injuries prevent employees from returning to their previous job, workers' compensation may cover vocational rehabilitation services. This includes job retraining, education, and assistance finding suitable employment within their physical restrictions.

Death Benefits

If an employee dies from a work-related injury or illness, workers' compensation provides benefits to surviving dependents. This includes burial expenses and ongoing income replacement for spouses and dependent children.

Employers Liability Coverage

Part B of your workers' compensation policy provides employers liability coverage, protecting your business against lawsuits related to workplace injuries that fall outside the standard workers' comp system. This includes claims from employees' family members, third-party lawsuits, and situations where the exclusive remedy provision doesn't apply.

South Carolina Workers' Compensation Requirements

South Carolina workers' compensation law applies to most Myrtle Beach employers, though requirements vary based on your industry and workforce size:

• General employers — Businesses with four or more employees must carry workers' compensation insurance. This threshold applies to most retail, service, and office-based businesses in Surfside Beach, Georgetown, and throughout the Grand Strand.


• Construction industry — Construction companies need workers' compensation coverage with just one employee. South Carolina applies stricter requirements to this higher-risk industry.


• Agricultural employers — Farms and agricultural operations have different thresholds and seasonal employee rules.


• Sole proprietors and partners — Business owners can typically exclude themselves from coverage, though many choose to include themselves for protection.


• Corporate officers — Officers of corporations are generally considered employees and must be covered unless they formally elect exclusion.

Misclassifying employees as independent contractors to avoid workers' compensation requirements is illegal and carries serious penalties. South Carolina actively investigates worker misclassification, and penalties include back premiums, fines, and potential criminal charges.

How Are Workers' Compensation Premiums Calculated?

Workers' compensation pricing in South Carolina is based on a formula that accounts for your industry risk, payroll size, and claims history:

Classification Codes — Every job type has a classification code with an assigned rate reflecting that work's injury risk. Office workers have low rates. Roofers and loggers have high rates. Businesses with multiple job types pay different rates for each classification.

Payroll — Premiums are calculated per $100 of payroll for each classification. Higher payroll means higher premiums because more employee hours create more injury exposure.

Experience Modification Rate — Your EMR compares your claims history to similar businesses in your industry. An EMR below 1.0 means fewer claims than average, reducing your premium. Above 1.0 means more claims, increasing your premium. New businesses without claims history start at 1.0.

Credits and Debits — Carriers may apply additional credits for safety programs, drug-free workplace policies, or other factors that reduce risk. Schedule debits may apply for adverse characteristics.

How Much Does Workers' Compensation Cost in Myrtle Beach?

Workers' compensation costs vary significantly based on your industry and payroll. Some examples for South Carolina businesses:

• Office and clerical work — approximately $0.20 to $0.40 per $100 of payroll


• Restaurants and food service — approximately $1.50 to $3.00 per $100 of payroll


• Retail stores — approximately $1.00 to $2.00 per $100 of payroll


• General construction — approximately $5.00 to $15.00 per $100 of payroll


• Roofing contractors — approximately $15.00 to $30.00 per $100 of payroll

A Myrtle Beach restaurant with $300,000 in annual payroll might pay $4,500 to $9,000 for workers' compensation. A roofing contractor with the same payroll could pay $45,000 or more. Maintaining a safe workplace and managing claims effectively helps control costs over time.

Why Work with Moore & Associates for Workers' Compensation Insurance?

Moore & Associates has helped Myrtle Beach businesses navigate workers' compensation requirements since 1979. As an independent agency, we work with multiple carriers to find competitive rates for your specific industry and payroll. Different insurers specialize in different industries—we know which carriers offer the best pricing for contractors in Atlantic Beach, restaurants in Litchfield, and retailers in Pawleys Island.

Our local agents help you understand South Carolina workers' compensation requirements, classify employees correctly, and implement practices that control your experience modification rate over time. When claims occur, we advocate for efficient handling that gets employees back to work and keeps your costs manageable.

Get a Workers' Compensation Insurance Quote in Myrtle Beach, South Carolina

Our workers' compensation insurance agents serve Myrtle Beach, South Carolina and surrounding areas including North Myrtle Beach, Atlantic Beach, Conway, Surfside Beach, Murrells Inlet, Litchfield, Pawleys Island, and Georgetown. Contact Moore & Associates today for a free quote.