The Most Expensive Workers Compensation Classification Codes in Califiornia

In performing recent premium audits for California employers, I decided to check out which of the Classification Codes were the most expensive. The most expensive was not a surprise. The second most expensive was an unexpected one.

There are hundreds of Classification Codes in the California Workers Compensation system. The most expensive classification code in California is:

5552: Roofing —hourly wage below $23.00 per hour

When the insurance crisis in California existed a few years ago, insurers were charging well over $100 per $100 of payroll for Class Code 5552. This is the same as a 100%+ tax on a certain line of business. Why is this Classification Code the highest? The severity and number of accidents that involve roofers are very high compared with all other job types.

The next most expensive California Classification Code is:

9185 Carnival or Circus - all workers

The all workers designation means that there are no Standard Exceptions (Class Code 8810 or 8742) with this code.