Rules For Changing Your Workers Comp Policy

The main rule here is the 120 day rule.

• If the Workers Comp insurance carrier changes your classification during the first 120 days, this is allowed.
• If your carrier does this after 120 days, but before 9 months, then any increase is on a pro-rata %, not 100% of the classification code change.
• If there is a change in classification codes after nine months, then THERE CAN BE NO RETROACTIVE CHANGE to the current workers compensation policy. The classification codes can only be changed on the renewal policy.

This rule was instituted due to insurance carriers going back and changing the classification codes on policies to generate more funds. If you have had a retroactive or current classification code change, it may be best to contact a Workers Comp premium and Experience Mod expert .

Next Up - Ownership Changes and The Effect on a Workers Comp Policy