Running a veterinary practice means juggling countless responsibilities—and one of the most important is protecting your team. Workers' compensation insurance isn't just a regulatory checkbox. It's your financial safety net when an employee gets hurt on the job, which, let's be honest, happens more often in vet clinics than most other workplaces. Between unpredictable animals, heavy lifting, and long hours on your feet, your staff faces real risks every day.
Here's what surprises most veterinary practice owners: the injury rate in your industry is more than four times the national average. In 2023, veterinary services saw 10.6 nonfatal injuries per 100 full-time workers, compared to just 2.4 across all professions. That means workers' comp isn't just legally required in most states—it's practically essential for keeping your business financially stable when injuries happen.
When Do You Need Workers' Comp for Your Veterinary Practice?
If you employ anyone—vet techs, assistants, receptionists, groomers—you almost certainly need workers' compensation insurance. Most states require it as soon as you hire your first employee, though a handful have different thresholds. Florida and Georgia, for example, have specific employee count requirements before coverage becomes mandatory. And if you're in Ohio, North Dakota, Washington, or Wyoming, you're in a monopolistic state where you must purchase coverage through the state-run fund.
Even if your state technically allows you to operate without workers' comp when you're a solo practitioner or very small operation, getting coverage anyway is smart. One serious injury could cost tens of thousands in medical bills and lost wages—far more than the annual premium. Plus, many commercial leases and vendor contracts require proof of workers' comp coverage, regardless of what state law says.
Understanding Class Codes and How They Affect Your Rate
Workers' comp premiums are based on class codes—basically, categories that describe what your employees do and how risky those jobs are. For veterinary practices, the primary code you'll see is 8831. This covers veterinarians, vet techs, assistants, and anyone who comes into contact with animals, even occasionally. That includes your front desk staff if they ever help hold an animal or clean a kennel.
However, if you have purely clerical employees—receptionists who never interact with animals, bookkeepers working remotely—they might qualify for code 8810 instead. This code is designed for office workers with minimal risk, and it comes with significantly lower rates. In Louisiana, for example, code 8810 rates can be as low as $0.16 per $100 of payroll compared to $0.88 for code 8831. Properly classifying your employees can save you real money.
Keep in mind that some states don't use the standard NCCI codes. Pennsylvania and Delaware, for instance, use code 0959 for veterinary services. Your insurance agent should know your state's specific codes, but it's worth understanding how classification works so you can spot errors on your policy.
What Workers' Comp Actually Costs for Veterinary Practices
The national average rate for veterinary practices in 2025 is $0.93 per $100 of payroll. So if you have $200,000 in annual payroll, you'd pay roughly $1,860 per year, or about $155 per month. That's the baseline—but your actual premium depends on several factors.
First, location matters. States set their own rates, and they vary widely. Your claims history is the other big factor. Insurance companies use something called an experience modification rate, or EMR. Start with a baseline of 1.0. If your practice has fewer claims than expected, your EMR drops below 1.0, lowering your premium. If you have more claims than average, your EMR rises above 1.0, increasing your costs. A practice with an EMR of 1.3 pays 30% more than the baseline rate, while one with an EMR of 0.8 pays 20% less.
The type of veterinary work you do also plays a role. Mobile vets or large animal practices tend to have higher rates because the risk of injury is greater. Small animal clinics generally pay less. And if you offer services like grooming or boarding, those employees might be classified under different codes with their own rates.
The Real Risks Your Team Faces Every Day
About 70% of workers' comp claims in veterinary practices involve animal contact—mostly bites and scratches from cats and dogs. According to AVMA PLIT data from 2014-2016, roughly three-quarters of their workers' comp claims involved animal attacks. Veterinary technicians file the most claims (41%), followed by vet assistants (23%) and veterinarians themselves (9%).
But here's what catches people off guard: strains and sprains are the second most common claim type, and they're expensive. While they only represent 8% of claims, they account for 27% of total claim costs. That's because back injuries, repetitive strain, and lifting injuries often require extensive physical therapy, time off work, and sometimes surgery. Lifting 50-pound dogs onto exam tables, restraining large animals, and bending over surgery tables for hours takes a toll.
The average workers' comp claim in the veterinary field costs about $2,700, but that's just the average. Serious injuries can run into the tens of thousands. Industry-wide, veterinary professionals file about $8.8 million in workers' comp claims annually. These aren't abstract numbers—they represent real people in your clinic dealing with injuries that could have been prevented.
How to Keep Costs Down and Your Team Safe
The best way to lower your workers' comp premium is to prevent injuries in the first place. Start with proper training on animal handling and restraint techniques. Make sure your team knows how to read animal body language and when to use muzzles or sedation rather than risking a bite. Create protocols for handling aggressive or fearful animals, and empower your staff to speak up when they feel unsafe.
Invest in ergonomic equipment. Hydraulic exam tables that raise and lower save countless backs. Lift assists for moving large dogs, anti-fatigue mats for staff who stand all day, and proper lighting to reduce eye strain all make a difference. Yes, this costs money upfront—but it's far less than what you'll pay in increased premiums after multiple injury claims.
Document everything. When an injury does happen, report it to your insurance company right away, even if it seems minor. Delayed reporting can complicate claims and raise red flags with insurers. Maintain detailed incident reports and follow up with injured employees to ensure they're getting proper care and following return-to-work protocols.
Getting the Right Coverage for Your Practice
When you're shopping for workers' comp, don't just go with the cheapest quote. Look for carriers that specialize in veterinary practices or at least have experience with healthcare businesses. AVMA PLIT, for example, offers workers' comp specifically designed for veterinary practices, with safety resources and risk management support built in.
Make sure your policy accurately reflects your payroll and employee classifications. Underreporting payroll might seem like a way to save money, but insurers audit this, and you'll end up paying the difference plus penalties. Likewise, misclassifying employees in lower-risk codes is insurance fraud—not worth the risk.
Workers' compensation insurance protects both your employees and your business. When someone gets hurt, they get medical care and wage replacement without having to sue you. You get protection from potentially catastrophic lawsuits. And with the right safety measures in place, you can keep your premiums reasonable while creating a safer workplace for everyone on your team. It's not just about compliance—it's about running a sustainable practice that takes care of the people who make it possible.
