The North Carolina workers’ compensation premium calculator estimates your annual cost using the standard NCCI rating formula. North Carolina relies on NCCI class codes and rate filings, so the math here mirrors what a private carrier uses to quote you.
How it works
Workers’ comp premium is built from three pieces — your payroll, the risk of the job (the class code base rate), and your own claims history (the experience modifier):
manual premium = (annual payroll / 100) x class code base rate
modified premium = manual premium x experience mod
final premium = modified premium x (1 - schedule credit)The base rate is quoted per $100 of payroll, which is why payroll is divided by 100. An experience mod of 1.00 is neutral; a schedule credit reflects safety programs or other carrier discretion.
Worked example
A landscaping crew with $250,000 payroll, a base rate of $6.50 per $100, an experience mod of 0.95, and a 5% schedule credit:
- Manual premium: (250,000 / 100) x 6.50 = $16,250
- Modified: 16,250 x 0.95 = $15,437.50
- After 5% credit: 15,437.50 x 0.95 = $14,665.63
Tips and notes
- Use audited payroll. Premium is finalized after an annual audit of actual payroll, not your estimate.
- One class code at a time. Businesses with mixed roles (office plus field) have multiple class codes — run each separately and add them.
- The mod is the lever. A strong safety record drops your experience mod below 1.00 and compounds savings every year.