How is workers' comp premium calculated in New York?

Premium equals the class code base rate per $100 of payroll multiplied by payroll divided by 100, then multiplied by your experience modification factor. For example, a $2.50 rate on $200,000 of payroll gives a $5,000 manual premium, adjusted by your experience mod.

What is an experience modification factor?

The experience mod (or x-mod) compares your past claims history to the average employer in your class. A mod of 1.0 is average; below 1.0 means fewer claims and a discount, above 1.0 means more claims and a surcharge. New York employers with enough payroll are experience-rated by the NYCIRB.

Where do I find my class code rate?

Job classification codes and their base rates are published by the New York Compensation Insurance Rating Board (NYCIRB) and appear on your insurance policy. Office workers carry low rates near $0.15 per $100, while roofers or loggers can exceed $20 per $100.

Does this include surcharges and fees?

No. This is a simplified manual-times-mod estimate. New York policies also include assessments, the Workers' Compensation Board surcharge, expense constants, and possible schedule credits or debits set by the carrier. Your final invoice will differ.

Can New York employers use the State Insurance Fund?

Yes. New York employers can buy coverage from the New York State Insurance Fund (NYSIF) or from a private carrier. Rates follow the same NYCIRB loss-cost structure, but carriers apply their own loss-cost multipliers, so quotes vary between NYSIF and private insurers.

New York Workers' Compensation Premium Calculator

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New York workers’ compensation premiums are built from your job classification code’s base rate, your total payroll, and your experience modification factor. This calculator applies the standard rate-times-payroll-times-mod formula so you can estimate the annual premium for a classification.

How it works

Workers’ comp premium is priced per $100 of payroll. Each job classification code has a base rate (the manual rate) set from New York Compensation Insurance Rating Board loss costs. The formula is:

manual premium   = (payroll / 100) × class_rate
modified premium = manual premium × experience_mod

The experience modification factor adjusts the manual premium up or down based on your claims history relative to peers. A mod of 1.0 is neutral, 0.85 is a 15 percent credit, and 1.20 is a 20 percent surcharge.

Example

An employer with $300,000 of payroll in a class code rated at $3.00 per $100 has a manual premium of (300,000 / 100) × 3.00 = $9,000. With a favorable experience mod of 0.90, the modified premium is $9,000 × 0.90 = $8,100.

Notes

This is a simplified estimate. Actual New York policies add the Workers’ Compensation Board assessment, expense constants, schedule credits or debits, and carrier loss-cost multipliers, and they split payroll across multiple class codes. Office clerical codes can be under $0.20 per $100 while high-hazard codes exceed $20. Get a real quote from the New York State Insurance Fund (NYSIF) or a private carrier, and confirm your codes and mod with the NYCIRB at nycirb.org.