Restaurant Workers' Comp in South Carolina
What South Carolina requires of restaurants and bars for workers' compensation — when it kicks in, who's exempt, and what it costs.
Reviewed by J. Robert Smith, Licensed Insurance Agent (NPN 10378680). Last updated .
Yes, if the restaurant regularly employs four or more workers, counting full-time and part-time. Businesses with fewer than four employees, or with annual payroll under $3,000, are exempt, as are casual and agricultural workers. Corporate officers and business owners may elect out. Most restaurants meet the four-employee trigger, so coverage is typically required.
- Required?
- Yes
- Kicks in at
- Four or more employees (4+), full- or part-time, counted regularly. Employers with fewer than four employees are not required to carry coverage; the count is separate from the payroll-dollar exemption.
- Restaurant rate
- NCCI class 9082 (Restaurant NOC) / 9083 (fast food). South Carolina is a moderate-cost state; restaurant rates typically run roughly $1.00–$1.80 per $100 of payroll versus national averages near $1.00–$1.06 for these codes. Approximate, industry tier.
- Market
- South Carolina is a competitive market: private insurers write coverage, with the state-operated South Carolina State Accident Fund available as a competitive insurer, and an assigned-risk plan for hard-to-place employers.
Is workers’ comp required for a restaurant in South Carolina?
South Carolina requires workers' compensation once you reach Four or more employees (4+), full- or part-time, counted regularly. Employers with fewer than four employees are not required to carry coverage; the count is separate from the payroll-dollar exemption.. Employers with total annual payroll under $3,000 in the prior calendar year are exempt regardless of headcount. Also exempt: agricultural employees, casual employees, railroads/railway express, federal employees, and commission-only real estate agents. Corporate officers who are shareholders may formally elect to exclude themselves.
What restaurant workers’ comp costs in South Carolina
The restaurant class-code rate in South Carolina is NCCI class 9082 (Restaurant NOC) / 9083 (fast food). South Carolina is a moderate-cost state; restaurant rates typically run roughly $1.00–$1.80 per $100 of payroll versus national averages near $1.00–$1.06 for these codes. Approximate, industry tier.. Your premium is that rate applied per $100 of payroll and adjusted by your experience modifier, so it scales with how many people you employ and your claims history. South Carolina is a competitive market: private insurers write coverage, with the state-operated South Carolina State Accident Fund available as a competitive insurer, and an assigned-risk plan for hard-to-place employers.
What owners in South Carolina miss
- The four-employee threshold means a small cafe with three workers is not legally required to carry coverage — a common trigger point owners cross as they hire their fourth employee.
- Even a business with four or more employees is exempt if its total annual payroll was under $3,000 in the prior calendar year, a distinct dollar-based exemption in S.C. Code Title 42 that headcount alone doesn't capture.
- Corporate officers who are shareholders can opt out of coverage, but the exclusion must be formally filed — it is not automatic — so an owner who assumes they're excluded may still be counted.
- Part-time and seasonal workers count toward the four-employee threshold, so a restaurant relying on part-timers can still trigger the requirement.
Sources
- South Carolina Workers' Compensation Commission: Coverage Division (four-or-more-employee requirement; Title 42 exceptions)primaryretrieved 2026-07-27
- South Carolina Workers' Compensation Commission: Verify Coverage / coverage requirementsprimaryretrieved 2026-07-27
- South Carolina Small Business Chamber of Commerce: What Business Owners Need to Know About Workers' Compensation Insuranceindustryretrieved 2026-07-27
Cost examples are illustrative national figures gathered from public filings and industry surveys. They are not quotes. Your actual premium depends on your state, carrier, revenue, payroll, location, and coverage selections. Restaurant Insurance Authority is an insurance marketing and referral service, not an insurer or licensed agency. We connect business owners with licensed independent commercial-lines agents who specialize in food and beverage. Questions? Call (855) 480-1410.
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