Arizona Workers Compensation and SCF

The Arizona State Compensation Fund, or SCF, was created as part of the AZ Industrial Commission in 1969. Today it is no longer a non-profit mutual company and does not operate as part of state government. While it is still governed by a Board of Directors appointed by the Governor, it is funded by premiums and investment returns.

Arizona requires that employers either purchase work comp insurance from a private insurance company or from SCF. Almost 70% of AZ employers currently purchase workers compensation from SCF, making them near monopolistic. In order for an employer to get coverage through the AZ state fund, The SCF must first decline to offer coverage to the business on a voluntary market basis.

Alternatives to SCF

AZ Employers now have tremendous options for finding better insurance rates than ever before. Their are numerous open market carriers admitted and actively writing business in the state. Many of these insurance companies are eager to compete with the Arizona State Fund and may provide additional coverage for out of state work.

Apache County

Greenlee County

Pima County

Cochise County

La Paz County

Pinal County

Coconino County

Maricopa County

Santa Cruz County

Gila County

Mohave County

Yavapai County

Graham County

Navajo County

Yuma County