Alternative Workers Compensation Program

Overview of the Alternative Workers Compensation Program from Novatae Risk Group

Novatae Risk Group offers a robust Alternative Workers Compensation Program through its partner Empire, designed to help agents place tough-to-insure risks that don't fit traditional markets. As a Managing General Underwriter and Excess & Surplus Lines Broker, Novatae provides access to a wide range of flexible workers compensation solutions backed by top-rated AM Best carriers including Hartford, AIG, Zurich, Argonaut, Amtrust, State National, and Lumberman’s.

Whether your client is being non-renewed due to losses, has a high X-Mod, or is currently in a state fund or assigned risk pool, this program is a powerful alternative. With availability in nearly every state (except monopolistic states), it’s ideal for multistate risks, complex operations, and accounts needing creative underwriting solutions.

Ideal Accounts and Appetite

This program is built for accounts that are difficult to place in the standard market. Targeted scenarios include:

• Clients with X-Mods between 1.30 and 3.0
• Accounts being non-renewed or canceled due to prior losses
• Businesses coming out of a state fund, assigned risk pool, or insurer of last resort
• New ventures, lapses in coverage, or no prior history
• Accounts with tough class codes or multi-state operations

Common industries include manufacturing, construction (including roofing, framing, excavation, and swimming pool contractors), janitorial, transportation, residential care, and farming. You can also place clerical and service-based risks that meet the alternative underwriting criteria.

Coverage Highlights and Advantages

Empire's Program Features:

• Guaranteed Cost and High Deductible Plans
• Retroactive Rating Programs (“Retro Plans”)
• Dividend and Return of Premium Options
• Rate/Premium Deviations and “Consent to Rate” Approvals
• Pay-As-You-Go Options and Zero Premium Deposit (optional)
• Payroll services with tax compliance and benefit administration
• HR support, loss control resources, and expert claims management

These features help reduce upfront costs, improve cash flow, and provide risk management support for long-term cost savings—especially useful for clients with volatile loss histories or complex payroll needs.

Underwriting Notes and Minimum Premiums

To submit a risk, agents will need to provide:

• Acord 130 application
• Three years of loss history
• Loss history affidavit (if lapse or no prior)
• Experience Mod sheet
• Supplemental application based on class of business (Click here for Supplementals)
• Claim narratives for losses over $20,000

Minimum premiums vary by risk and state. Competitive commissions are offered—typically ranging from 6% to 10%, based on class code, premium size, and underwriting risk.

Territories and Availability

Novatae’s Alternative Workers Comp Program is available in all U.S. states except monopolistic ones (ND, OH, WA, WY). Eligible states include AL, AK, AZ, AR, CA, CO, CT, DE, FL, GA, ID, IL, IN, IA, KS, KY, LA, ME, MD, MA, MI, MN, MS, MO, MT, NE, NV, NH, NJ, NM, NY, NC, OK, OR, PA, RI, SC, SD, TN, TX, UT, VT, VA, WV, and WI.

Why Work With Novatae Risk Group

As a trusted wholesaler and program provider, Novatae Risk Group offers deep market access, tailored underwriting, and responsive service to help agents place hard-to-insure risks. With more than a dozen top-rated carriers and flexible program structures, you gain a partner that understands the unique needs of non-standard workers compensation clients.

Whether you're working with a heavy construction firm with high losses or a new staffing agency with no prior coverage, Novatae helps you navigate challenging placements with confidence and speed.