What is the most common method used by employers to obtain workers' compensation coverage?

The most common method used by employers to obtain workers' compensation coverage is through private insurers. This approach allows businesses to secure insurance policies from licensed insurance companies that specialize in providing workers' compensation coverage. Private insurers offer a range of policy options that cater to different industries and the specific needs of a business, making it a flexible choice for many employers.

Employers choose private insurance because it generally provides comprehensive coverage and direct access to a variety of resources, including claims management and risk assessment services. Private insurers are also able to offer competitive pricing based on the employer's specific industry risk factors, which can lead to more affordable premiums depending on the employer's claims history and safety measures.

State-run insurance programs, while available in some cases, typically serve as alternatives rather than primary options for most employers. Self-insurance, while a viable option for larger organizations with the financial capacity to bear the risk, is not as commonly utilized due to its complexity and the need for significant resources. Industry-specific coverage may be relevant in certain sectors but does not represent the broadest choice for employers seeking workers' compensation coverage. Hence, working with private insurers remains the predominant approach in the marketplace.