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Workers Compensation premiums are based on payroll and classification of work performed. Some employers now have payroll for employees that are not working. Because they’re still on the payroll, they’re still paying premiums even though there is little or no potential risk for work-related illness or injury. National Council on Compensation Insurance (NCCI) is creating a classification code for these employees so their payroll can be moved to a non-premium-generating classification. While these types of changes would usually be implemented at the audit after the end of the policy that’s not much help now when it’s needed.

This is a new development and we’re not sure about how willing and able our insurance partners will adapt, but we’re certainly willing to try.  If you purchase WC and this scenario applies you may want to contact us to see about reassigning your payroll to a different classification.

Dougherty Logo 2 - Workers Compensation with Employees Not Working

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