Florida workers' comp class codes are crucial for employers and insurers to accurately classify their businesses and employees. This helps ensure they're paying the right premiums and receiving the correct benefits.
The Florida Division of Workers' Compensation (DWC) assigns these class codes based on the type of work being performed. There are over 800 class codes in total, ranging from agriculture to construction to healthcare.
Employers must correctly classify their businesses and employees to avoid penalties and potential lawsuits. Misclassification can lead to significant financial losses and reputational damage.
The DWC updates its class codes periodically to reflect changes in the workforce and industry trends. Employers and insurers must stay informed about these updates to remain compliant.
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What are Florida Work Comp Class Codes?
Florida Work Comp Class Codes are used to determine the risks for each type of employee, with jobs that are riskier carrying higher rates of insurance. The National Council on Compensation Insurance (NCCI) creates these codes by examining data for each group of employee classification and gives their recommendations for insurance rates to the Florida Office of Insurance Regulation.
The NCCI collects data on millions of worker's compensation policies and policy claims, and aside from determining the rates of worker's compensation insurance policies, they do cost analysis of legislation and regulatory decisions regarding worker's compensation, do research on injury liability, and analyze industry trends.
Florida uses a class code classification system that was determined by the NCCI, an independent "Advisory Organization." Each code is connected to an insurance rate that represents the risk of a workplace accident. Employees that work in offices, for example, have class codes that carry insurance rates that are much lower than the prices connected to class codes for employees in the construction industry.
Here are some common class codes in Florida:
These class codes are used by insurance carriers to determine the final rate of a policy, along with what is known as the "experience modification factor."
Finding and Understanding Class Codes
Florida uses a class code classification system determined by the NCCI, which creates worker's compensation class codes by examining data for each group of employee classification and giving recommendations for insurance rates to the Florida Office of Insurance Regulation.
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The NCCI collects data on millions of worker's compensation policies and policy claims to determine the rates of worker's compensation insurance policies.
More than 600 class codes exist in Florida, but here are some common ones: Class Code NumberClass Code Title3507Construction or Agricultural Machinery Manufacturing5348Stone, Mosaic or Terrazzo or Ceramic Tile Work – Inside5223Swimming Pool Construction – Not Iron or Steel5506Street or Road Construction: Paving or Repaving5606Contractor – Construction Supervisor6400Metal Fence Construction5551Roofer9052Hotel: Restaurant Employees8209Vegetable Packing0113Farm: Fish Hatchery9083Fast Food Restaurant8380Auto Service/Repair Center
In Florida, class codes are used to determine the risks for each type of employee, with jobs that are riskier carrying higher rates of insurance.
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Florida Worker's Comp Insurance Class Codes
Florida Worker's Comp Insurance Class Codes are determined by the National Council on Compensation Insurance (NCCI), an organization that collects data on millions of worker's compensation policies and policy claims.
The NCCI uses this data to create worker's compensation class codes, which are used to determine the risks for each type of employee. Each code is connected to an insurance rate that represents the risk of a workplace accident.
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The cost of Workers' Compensation insurance in FL is based upon 3 primary factors: the payroll for the business, the type of work performed by the employees, and the individual employer's claims history. Premium discounts may also be available to employers.
Florida uses a class code classification system, which is determined by the NCCI. The NCCI collects data on millions of worker's compensation policies and policy claims, and uses this data to create worker's compensation class codes.
Here are some common class codes in Florida:
- 3507 – Construction or Agricultural Machinery Manufacturing
- 5348 – Stone, Mosaic or Terrazzo or Ceramic Tile Work – Inside
- 5223 – Swimming Pool Construction – Not Iron or Steel
- 5506 – Street or Road Construction: Paving or Repaving
- 5606 – Contractor – Construction Supervisor
- 6400 – Metal Fence Construction
- 5551 – Roofing
- 9052 – Hotel: Restaurant Employees
- 8209 – Vegetable Packing
- 0113 – Farm: Fish Hatchery
- 9083 – Fast Food Restaurant
- 8380 – Auto Service/Repair Center
The rates for these class codes vary depending on the risk associated with each type of employee. For example, employees that work in offices have class codes that carry insurance rates that are much lower than the prices connected to class codes for employees in the construction industry.
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Workers Compensation Insurance
Florida requires employers to provide workers' compensation insurance to their employees in certain industries, including construction, non-construction, and agriculture. This insurance coverage must be provided for employees who have been injured on the job.
The cost of workers' compensation insurance in Florida is based on three primary factors: payroll, type of work performed, and the employer's claims history. Employers with a workplace safety program can receive a 2% discount, while those with a drug-free workplace program can receive a 5% discount.
The Florida Department of Labor and Employment uses workers' compensation classification codes created by the National Council on Compensation Insurance (NCCI) to determine the cost of insurance. For example, a roofer or tree trimmer may have a higher cost of $17 per $100 in payroll, while an attorney or accountant may have a lower cost of under $0.20 per $100 of payroll.
Employers must file a First Report of Injury or Illness (DWC-1) with their insurance carrier within 7 days of the injury. This report must be filed even if the employer does not think the injury is covered under workers' compensation.
Here's a list of industries that are required to provide workers' compensation insurance in Florida:
- Construction Employers who have 1 or more employees, including any non-exempt business owners;
- Non-Construction Employers who have 4 or more employees including any non-exempt business owners;
- Agriculture – when there are 6 regular employees and/or 12 seasonal workers who work more than 30 days during a season but no more than a total of 45 days in a calendar year.
Frequently Asked Questions
What is the difference between WC class code 5403 and 5645?
WC class codes 5403 and 5645 differ in risk level, with 5403 for larger commercial projects carrying higher risks than 5645 for residential construction. This affects the insurance rates for each project type.
What is a class code 8742 in Florida?
In Florida, Class Code 8742 refers to salespersons, collectors, and messengers working away from their employer's premises. This code applies to workers who perform duties outside of the office or store.
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