New Jersey has some of the highest workers’ compensation insurance rates in the country. In this state, every type of job is assigned a classification code, and the New Jersey Division of Workers’ Compensation assigns each class code a base rate for workers’ compensation coverage.
Insurance companies must use these base rates to determine policy costs, but they are permitted to adjust rates up to 15% through policy debits and credits.
Let's look at the base rates for a few different kinds of jobs in New Jersey. These are the rates employers will pay for every $100 of employer payroll.
- Landscapers: $14.77
- Tree trimmers: $21.31
- Plumbers: $5.86
- Roofing contractors: $29.46
- Retail store workers: $3.44
- Clerical/office workers: $0.18
- Restaurant workers: $3.21
As you can see, workers’ comp rates are significantly higher for jobs that have a high risk of employee injuries, like tree trimmers, when compared to less dangerous jobs like office workers.
Your actual quoted cost will be based on the number of employees you have, the types of jobs they do, how much they are paid, and your company’s safety and insurance claims history. A local independent insurance agent can help you obtain and compare rates from a few competing insurance providers.