Workers comp insurance costs vary dramatically depending on the industry you are in. Understanding typical cost ranges helps you know whether you are getting a fair rate, and what factors drive the differences.
How Workers Comp Cost Is Measured
Workers comp cost is expressed as a rate per $100 of payroll. A rate of $2.00 means you pay $2.00 for every $100 of payroll for employees in that category. Multiply by your total payroll and apply your experience modifier to get your annual premium estimate.
Low-Cost Industries
Clerical and office work typically runs $0.20 to $0.50 per $100 of payroll. Retail sales employees generally run $1.00 to $3.00. Professional services like accounting and legal run at similarly low rates. These industries have low injury frequency and low claim severity, which translates to low rates.
Mid-Cost Industries
Restaurants and food service typically run $3.00 to $6.00 per $100 of payroll. Landscaping runs $7.00 to $12.00. Light manufacturing and warehouse work runs $3.00 to $8.00 depending on the specific operations involved. These industries have more physical demands and more frequent claims than office work.
High-Cost Industries
Construction trades like carpentry and plumbing run $8.00 to $18.00 per $100 of payroll. Roofing runs $15.00 to $30.00 or more. Tree service work can run $20.00 to $40.00 in some states. These industries combine physical demands, height exposure, and heavy equipment into a high-severity claim profile.
Get a Rate for Your Specific Business
These are general ranges. Your actual rate depends on your state, your specific class codes, and your claims history. Comp Matters Inc. gets fast, accurate quotes for East Coast businesses across all industries. Call (631) 248-2500 today.
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