Call Us 432-848-3055 ☰ ˟
Logo
Call Us 432-848-3055
  • Home
  • Get a Quote
    • AutoImage of right arrow
      • Automobile
    • HomeImage of right arrow
      • Homeowners
    • Business & CommercialImage of right arrow
      • Commercial Auto
      • General Liability
      • Workers Compensation
    • TruckingImage of right arrow
      • Trucking
    • Oil Field InsuranceImage of right arrow
      • Oil & Gas
    • Workers Compensation
    • Motorcycle
  • Blog
  • Resources
    • Secure Area
    • Refer a Friend
    • Helpful Links
    • Calculators
    • Insurance Glossary
  • About Us
    • About Us
    • Our Locations
    • Employee Directory
    • Testimonials
    • Privacy Policy
  • Contact Us
    • Contact Us
    • Join our Newsletter
Icon Auto Icon Home
Icon Business
Icon Oil Field Contractors
Icon Life Icon Recreational Vehicles
Home > Blog > Can Adding Products or Services Change Your Workers Compensation Insurance Rates?
WEDNESDAY, JANUARY 4, 2023

Can Adding Products or Services Change Your Workers Compensation Insurance Rates?

If you offer new products or services, it's possible that your workers compensation insurance rates may change. That's because the type of work that your employees perform is the primary driver in workers compensation insurance rates. 

How Workers Compensation Rates Work 

Like any other insurance coverage, workers compensation premiums are based on the risk that you'll file a claim. In this case, it's the risk that your employees will be injured on the job. Each state has a rating system that takes into account both the type of work your company does and specific job functions. 

For example, a company that uses heavy machinery will typically pay higher rates than a company that only does phone sales. The premium for a machinery operator will often be higher than the premium for an accountant in the same company. text, letter

What Happens When Your Products Or Services Change? 

When your products or services change, that means you might be classified into a new industry or have new job titles. If the work is riskier than work you had been doing in the past, you might see a rate increase. Similarly, if the work has less risk, your rates could go down. If the changes to your business result in more worker injuries or fewer injuries and change the number of claims you file, your rates could also go up or down. 

Review Your Worker Classifications 


You should always periodically review your worker classifications, but it's even more important when you're changing your company's offerings or restructuring your employees. If you're using the wrong classification, you could be paying too much for workers compensation insurance. Or, you could be at risk of getting in trouble for not having adequate coverage or for having a claim denied. Even though states often periodically audit workers compensation premiums, do this on your own to avoid any potential problems. 

 
Posted 12:53 PM

Tags: workers, compensation, coverage, commercial, business
Share |


No Comments


Post a Comment
Required
Required (Not Displayed)
Required


All comments are moderated and stripped of HTML.

NOTICE: This blog and website are made available by the publisher for educational and informational purposes only. It is not be used as a substitute for competent insurance, legal, or tax advice from a licensed professional in your state. By using this blog site you understand that there is no broker client relationship between you and the blog and website publisher.
Blog Archive
  • 2023
  • 2022
  • 2021
  • 2020

  • coverage(13)
  • insurance(12)
  • commercial(7)
  • liability(6)
  • general(6)
  • oil(3)
  • field(3)
  • policy(3)
  • contractors(3)
  • homeowners(3)
  • auto(3)
  • car(3)
  • accident(3)
  • safe driving(1)
  • highway driving(1)
  • compensation(1)
  • defensive driving(1)
  • oil and gas contractor(1)
  • auto insurance(1)
  • business(1)
  • general liability insurance(1)
  • workers(1)

View Mobile Version
Insure your needs today!
Social Social Social Social Social Social
Quick Links
Home
Get A Quote
Customer Service
Payment Options
Report a Claim
About Us
Our Carriers
Partners
Blog
Contact Us
Location 3328 N Midkiff Rd
Suite 1
Midland, TX 79705

Call/Text Us: 432-848-3055
Fx: 432-848-3054
Powered by Insurance Website Builder