Workers Compensation
Classification Codes (By Number With Description)

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Workers compensation classification codes are three to four digit numbers assigned by the NCCI or state rating bureau. Workers comp class codes contain your industries injury rates & are used to determine your base premium cost.

Workers Comp Class Codes

Workers Compensation Classification Codes

So what are workers compensation classification codes? Workers comp class codes are created by the National Council on Compensation Insurance (NCCI), an organization that according to them: "gathers data, analyzes industry trends, and provides objective insurance rate and loss cost recommendations."

According to WikipediA: The NCCI annually collects data covering more than four million workers compensation claims and two million policies. The bureau uses this information to provide:

For example, for a roofer, tree trimmer, or demolition company, the cost could be $17 per $100 in payroll, or even higher. On the other hand, the cost to cover a attorney, accountant or real estate agent could be under $0.20 per $100 of their payroll. So, for an employee that earns $40,000 a year, a blue collar contracting company could pay around $6800, where a white collar business may pay just $80. It all depends on the risk or injury associated with the code.

Classifying Workers Compensation Risks

Classifying workers compensation risks can be extremely challenging, especially considering that they often do not match general liability classifications. In many cases, the classification descriptions and codes are only vaguely related to one another or are not related at all. As a result, classifying workers compensation risks can be difficult and challenging so it must be done carefully. Proper classification produces the best exposure fit and benefits both the named insured and the insurance company.

Selecting the proper classification or classifications is not always simple or easy. The primary goal in classifying risks is to select the one class that best represents the operation. Classification wording must be read carefully with respect to inclusions and exclusions. There is not usually a single classification that exactly matches a given operation. As a result, the classification that best or most nearly reflects it should be used.

This "one best classification" approach has a few exceptions. These include construction or erection operations, farming, repair facilities, and retail businesses. These risks almost always have more than one classification, depending on the nature and extent of the business and the operations performed.

Workers Compensation Insurance Information

The following states we are licensed in DO use the NCCI class codes:

These states we are licensed in DO NOT use the NCCI class codes:

Workers Compensation Classification Codes List

Workers compensation classification codes - some of the most searched class codes are:

... because the cost for workers comp base premiums are lower in these classes than most others.

Following is a list of the NCCI workers compensation classification codes (looking for general liability class codes?). Each classification has a four-digit code. Each code has a corresponding loss cost or rate that is used to start the rating process. Some risks have only one classification and loss cost or rate. Others have two or more, depending on the type of business, operations performed, and classifications that apply. Both the code and class description are listed in numerical order:

Further Reading On Worker's Comp Insurance

Workers Compensation Insurance Quotes

If you are looking for state specific Workers Compensation Insurance insurance quotes, costs and information: California Workers Compensation Insurance, Delaware Workers Compensation Insurance, Illinois Workers Compensation Insurance,Kentucky Workers Compensation Insurance, New Jersey Workers Compensation Insurance, New York Workers Compensation Insurance, Pennsylvania Workers Compensation Insurance, Texas Workers Compensation Insurance.

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