Why Workers' Comp Rates Vary So Much By State
Each state legislature sets its own benefit cap and percentage. Massachusetts caps at $1,922 while Georgia caps at $675 — the same injury and wage produce dramatically different weekly checks across state lines. Caps are typically tied to a percentage of the State Average Weekly Wage (SAWW) and are updated annually.
What Is the Average Weekly Wage and How Is It Calculated
AWW is the average of your gross earnings — including overtime, bonuses, and second-job income — over the 52 weeks before your injury. Most states use 52 weeks; a few use 13 or 26. If you worked less than a full year, states use a "similar employee" comparison wage.
States With the Highest and Lowest Workers' Comp Benefits
Highest 2026 caps: Missouri ($2,350), Illinois ($2,008), DC ($1,900), Connecticut ($1,897). Lowest: Mississippi ($637), Georgia ($675), Louisiana ($750), Arkansas ($870). Caps reflect cost-of-living and political choices more than injury severity.
FAQ
When are weekly benefit rates updated?+
Most states update annually on January 1 or July 1 based on the State Average Weekly Wage.
What if my AWW exceeds the state cap?+
Your weekly benefit is limited to the cap, even if 66.67% of your wage would be higher.
Do part-time workers qualify for these rates?+
Yes — your AWW is calculated from your actual earnings, no matter how few hours.
Are benefit rates the same for TTD and PPD?+
The weekly rate is usually the same; the duration differs.
Do these rates apply to federal workers?+
No. Federal employees fall under FECA, which has its own schedule.
Wondering if your state's cap is being applied correctly?
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