Workers' Compensation Insurance Cost Calculator

Every employee is assigned a class code that reflects the nature of their work. Codes with higher injury risk like roofing, structural steel, and logging carry significantly higher rates than low-risk classifications such as clerical or outside sales.

Premium is assessed per $100 of payroll, making payroll the primary volume driver. Businesses with higher total compensation costs will pay more in absolute terms, even if their per-$100 rate is low.

The e-mod is a multiplier applied to your base premium based on your actual claims history relative to expected losses for your industry. An e-mod below 1.0 reduces your premium; an e-mod above 1.0 increases it. New businesses start at 1.0 by default.

Each state maintains its own workers' comp rate schedules. States with more generous benefit structures, higher medical costs, or greater litigation activity typically have higher base rates. Some states also operate monopolistic funds that restrict carrier choice.

Industries with high rates of workplace injury, illness, or fatality like construction, agriculture, and manufacturing are assessed at materially higher base rates than professional services or technology firms with predominantly desk-based workforces.

Frequent or severe prior claims directly affect your e-mod at renewal and signal elevated risk to underwriters. A sustained period without claims will lower your e-mod over time, producing meaningful premium reductions.