With 50 years of Workers Compensation insurance experience and dozens of insurer relationships, the insurance professionals behind Insure My Work Comp are ready to provide you with the best and most comprehensive plan that fits your business needs. We understand both state and industry requirements and will provide a policy that protects both you and your employers in the event of on-the-job injuries and illnesses. We have secured Workers Comp policies for all size and types of businesses throughout a broad spectrum of industries, including for high-hazard sectors.
A no-fault state-mandated insurance system, Workers Comp will pay for job-related injury and illness claims without regard to personal negligence or fault. Employees will be paid for:
Workers Comp premiums are based on the size of your payroll, employee classification codes, and your claims experience.
Classification Code Rate x Experience Modification Rate x Payroll (per $100) = Premium
A classification code is used to determine the level of risk for different types of jobs. The experience modification rate is a multiplier that starts at 1.0 and is applied to determine whether your business should pay more or less based on the number and types of Workers Comp claims you’ve had. It basically benchmarks your claims experience against other similar-size businesses in your industry. If you’ve had a clean loss history, your experience modification rate will be lower than 1.0 and will earn you a credit on your policy, helping to reduce your premium. If you have a poor claims history, your business will earn a debit modification that will increase the premium.
For each $100 of your payroll, there is a specific rate, which is determined by the classification codes of your employees. Ensuring your Workers Comp payroll is accurate is critical as there may be a difference between actual payrolls and Workers’ Comp payrolls. This is because Workers’ Comp premiums are typically calculated on an annual basis and will be quoted as an Estimated Annual Premium (EAP). The premium is estimated with the insurer conducting a year-end audit that results in either applying a credit, issuing a refund, or requesting an additional premium if payroll is underreported.
There are several options for employers to secure Workers Comp coverage
including a Guaranteed Cost policy. The most widely used option, Guaranteed Cost Workers Comp is typically for small- to medium-sized businesses looking for first-dollar coverage without a deductible, or firms that prefer more of a predictable insurance premium with less risk tied to actual loss experience. You pay a standard amount of premium even if losses exceed that amount; the plan is simple to budget for and administer; a low experience modification factor translates into lower premiums; and there is minimal risk associated with the plan.