Why is Virginia for (Business) Lovers?

Virginia’s lax enforcement of workplace safety laws, low workers comp premiums and payouts, and laws favorable to employers and business owners make it a very inexpensive state to do business.

Virginia has historically been ranked #1 in the country for “Best States for Business” by Forbes magazine. From the inception of Forbes rankings in 2006, Virginia has consistently ranked among the top 2 states for business, including the #1 spot in 2006, 2007, 2008, 2009, and 2013. In the related 2025 rankings by CNBC, which uses similar criteria to the Forbes lists, the Commonwealth of Virginia placed 4th overall for “America’s top states for businesses.” With top universities like the College of William & Mary, the University of Virginia, the University of Richmond and Virginia Tech, as well as the Madeira School (top girls prep school), the national championship winning Rachel Carson Middle School and the Thomas Jefferson High School for Science & Technology, the “Old Dominion” was #1 in education and #2 for infrastructure in that specific state by state comparison.

These rankings are no surprise in light of the move by Amazon to put a headquarters in Arlington, the proliferation of data centers in Northern Virginia’s “Silicon Dominion,” and the proximity to Washington, D.C. These rankings are based upon such factors as business costs, labor supply, regulatory environment, economic, climate, growth, prospects, and quality of life. With abundant natural resources, and a dearth of heavy industry in the vicinity of the nation’s capital, the Commonwealth has much to offer businesses seeking to relocate or expand within its borders. One of the side effects of Virginia’s business, friendly laws, legislature, and history is the fact that workers compensation benefits are very modest, and the laws to favor the employer, business and insurance company.

The most experienced insurance defense, Virginia Uninsured Employers Fund and claimants workers compensation lawyers in the Winchester, Warrenton, and surrounding areas got together to bring food for the local food pantry and discuss changes in Virginia law, procedures and celebrate the winner holiday season at the Dark Horse Pub, on Zachary Taylor Highway in Flint Hill, Virginia. They are members of the Virginia Workers Compensation Inns of Court, which holds annual legal education programs, social gatherings and makes authoritative recommendations for improvements in workers comp law.

This bias towards businesses is reflected in the fact that there is very little union presence in the Commonwealth; many companies are headquartered here (including powerful lobbying organizations like the “National Right to Work” anti-union group, located on the Capitol Beltway, the National Rifle Association, the Tobacco Industry, and others). Further supporting the reputation for being a “business friendly state,” workers compensation rates in Virginia are very low, and have been trending downward for the last several years, despite inflation, wages going up, and increases in other property and casualty lines of insurance. According to experienced injury and workers compensation lawyer Doug Landau,

“The math is easy: when fewer claims are paid out, and less money is paid per claim, the insurance companies can make more profit.

That is why we will often consider bringing an injured clients workers comp claim in another state where there may be jurisdiction for the workplace accident. Being admitted through the East Coast makes it easier, more efficient, and more economical for our clients to do so, as we are recognized as an authority in multistate injury claims and coordinating the workers compensation and personal injury aspects of our client’s injuries.”

Loudoun and Fairfax County Workers Comp lawyer Doug Landau notes, “Handling workers comp claims is not easy, like getting on a bike when you already know how to ride. If you do not regularly appear before the Virginia Workers Compensation Commission or the District of Columbia Office of Workers Compensation, then you should not be handling a disabled worker’s permanent injury case.” Here Doug Landau is showing a Loudoun County student how to safely ride a bike and properly wear the helmet that they were given as part of the Loudoun Public Schools “Safe Routes to Schools” program and the ABRAMS LANDAU “Lids on Kids” brain injury prevention initiative.

In addition to low premiums, benefits and duration of claims (i.e., Weekly indemnity payments do not last for life, but in fact, less than 10 years, even in death claims, in nearly all cases), Virginia workers Compensation rates have declined again this year. In other words, with the price of the coverage a Virginia employer will pay will decline in 2026. The state corporation commission is ordered this reduction, of 7.7% for most employers, because of the claims history in the Commonwealth. Some industries will see a greater reduction and others less savings, as Seaport and shipbuilding employers will get a 10.3 to 10.4% decrease, while coal companies will see a decrease of only 3 to 4.3% in the new year. According to Worker’s Compensation lawyer, Doug Landau,

“Virginia companies that employ more than 3 regular, full time employees have, on average, seen some of the lowest workers comp bills in the country.”

On average, Virginia has the second lowest Worker’s Compensation bills in the nation, at $.54 per hundred dollar of payroll, according to the national Academy of social insurance. Only Texas employers have lower bills, which is remarkable giving the gutting of the Texas workers, compensation protection laws by their legislature.

“That is only part of the calculations,” according to lawyer Landau, an authority on workers comp laws in several states. “The insurance companies here in Virginia pay out only some 31 cents per $100 in payroll, which figure is tied for 2nd lowest month the states. In other words, it is cheaper to insure the same level of payroll in the Commonwealth than in most other states.” The Virginia rate decrease, the 6th in a row, is justified because the insurance industry has had to pay out less in claims in recent years. Lawyer Landau notes that in addition,

 

“the Virginia Workers Comp laws do not cover many things that are protected in other states.

Because the amounts paid in Virginia Workers Comp claims are quite modest, and limited in time and amounts, the Commonwealth is a very inexpensive place for companies to do business.

Many occupational disease are not covered. Repetitive stress, trauma and injury cases do not result in benefits being provided. There is no permanency rating Awards for the head, neck, back, spine or whole body, despite the American Medical Association’s Guide to Impairment Ratings having specific sections for those parts pop the body. There are strict Notice and time requirements, which leads to many otherwise meritorious cases being denied and dismissed for reasons other than the merits of the claim. And, the Virginia workers comp laws generally prevent an injured employee from suing a co-worker, boss, supervisor or owner, even when that person may have been found guilty of criminal conduct in court, in violation of a Federal OSHA regulation, or grossly negligent.”

If you or someone you care about has been injured and there are legal questions, please contact us at once. Lawyer Doug Landau and the team at ABRAMS LANDAU, Ltd. are committed to advocating for those injured and ensuring they receive the care and compensation they need. Contact us today to get experienced legal help in workers’ compensation and personal injury cases at frontdesk@landaulawshop.com or call/text us at (703) 796-9555.