| Class | Description | Basis | Rate / $100 | ELR% |
|---|---|---|---|---|
| 8810 | Clerical office employees | annual | 0.350 | 6.50 |
| 8742 | Outside salespersons | annual | 0.650 | 8.00 |
| 8017 | Retail store operations | annual | 1.850 | 14.50 |
| 5223 | Concrete construction | annual | 9.750 | 24.00 |
| 5403 | Carpentry construction | annual | 7.400 | 22.00 |
| 7380 | Drivers / delivery | weekly | 4.200 | 18.00 |
- Annualized payroll converts basis to annual amounts.
- Term payroll = annualized × (policy_days ÷ 365).
- OT included = overtime term × (OT incl% ÷ 100).
- Premium payroll = term regular + OT included, then cap.
- Manual premium = (premium payroll ÷ 100) × rate × class mod.
- Modified = manual total × X-Mod, then schedule adj.
- Credits apply as factors, then discount/penalty, then fees.
- Surcharges = after fees × each percent rate.
- Final adds surcharges and applies minimum premium.
- Installments model remaining balance plus finance charge.
- Add one row per expected class and decide whether to include it.
- Enter regular and overtime payroll, plus the overtime inclusion percent.
- Enter rate per $100 and optional per-class modifier and payroll cap.
- Set experience modifier, schedule adjustment, and any credits or debits.
- Enter fees and surcharge rates, then calculate to see totals and graphs.
- Export CSV or PDF for sharing and documentation.
Industry context and inputs
Workers compensation estimates begin with payroll by class and a rate per $100. This calculator separates regular and overtime payroll, converts weekly or monthly figures to annualized values, then prorates to your policy term days. Use the include toggle to model excluded classes, and apply optional payroll caps to test programs with maximum chargeable payroll per class. Add multiple locations or departments as separate rows for cleaner audit mapping.
Premium build-up and modifiers
Manual premium is computed as (term payroll ÷ 100) × rate × class modifier. The experience modifier scales the total to reflect loss history, then schedule adjustment applies for underwriting judgment. Credits are modeled as factors for deductible plans, safety initiatives, and other debits or credits, helping finance teams compare scenarios with consistent assumptions. When unsure, run low, base, and high modifiers to bracket risk.
Fees, surcharges, and minimums
After credits, the model applies premium discount and optional short‑rate penalty, then adds flat expense constant and underwriting fee. Percentage items such as assessments, terrorism surcharge, and catastrophe load are applied to the fee-adjusted premium. Finally, a minimum premium floor can be enforced, ensuring the estimate respects common carrier minimums for small accounts.
Cash flow and installment modeling
Budgeting often requires payment timing, not only total cost. The calculator estimates deposit as a percent of final premium, then spreads the remaining balance across the chosen number of installments. An optional finance charge can be applied to the financed portion. This view supports planning for seasonal payroll growth and cash management during peak operating months.
Outputs, graphs, and governance
Results appear above the form, including a detailed class table and export buttons. CSV supports reconciliation in spreadsheets, while PDF suits approvals and broker discussions. Plotly graphs show premium build-up, class premium share, and sensitivity of final premium to key assumptions. Use the notes field to record rate sources and classification rationale for audit readiness. Store version dates and contacts to support future renewals and audits.
1) What does this calculator estimate?
It estimates an illustrative workers compensation premium from payroll, class rates, and selected modifiers, credits, fees, and surcharges. It is designed for budgeting and scenario comparison, not as a binding quote.
2) How do I enter overtime payroll correctly?
Enter overtime wages separately and set the overtime inclusion percent to match your reporting rule. If your jurisdiction excludes the premium portion of overtime, reduce the inclusion percent accordingly.
3) What is the per-class modifier used for?
It lets you apply an additional factor to a specific class premium, such as a location hazard difference or program adjustment. Keep it at 1.00 if you do not have a class-specific factor.
4) Why add a payroll cap?
A payroll cap limits chargeable payroll for a class in the term, useful for testing program caps or internal guardrails. Leave it at 0 to disable capping and rate the full payroll.
5) How is expected losses calculated?
Expected losses are calculated as term payroll (regular plus overtime) multiplied by the ELR percent you enter. This planning metric helps compare premium to expected loss levels.
6) Can I export what I calculated?
Yes. After calculating, you can download the results table as CSV for analysis or as PDF for sharing. Notes you enter appear in the result card for documentation.