Workers' Comp Experience Mod Premium Impact

Quantify how your workers' compensation experience modifier and scheduled credits change the final premium. Enter auditable payroll, the manual rate, and your current mod to reveal the manual premium, adjusted premium, credit or debit effect, assessment load, and the monthly funding requirement.

Total auditable payroll subject to the class code, rounded to the nearest dollar.
Use the published NCCI or bureau rate before modifiers and credits.
Experience modification factor from your latest rating worksheet.
Optional. Defaults to 0% if blank. Enter negatives for debits, positives for credits.
Optional. Defaults to 0.50% if blank to reflect common guaranty fund charges.

Premium estimates assume payroll audits match projected amounts and that no retrospective rating plan applies. Verify final billing with your carrier or broker.

Examples

  • $4,850,000 payroll, $2.37 rate, 0.86 mod, 10% credit, 2.1% assessment ⇒ Manual premium before modifier: $114,945.00 USD • Experience-rated premium: $98,852.70 USD • Scheduled credit/debit impact: -$9,885.27 USD • State and guaranty assessments: $1,868.32 USD • Total estimated annual cost: $90,835.75 USD • Approximate monthly billing: $7,569.65 USD
  • $2,200,000 payroll, $1.92 rate, 1.12 mod, debit left blank, assessment blank ⇒ Manual premium before modifier: $42,240.00 USD • Experience-rated premium: $47,308.80 USD • Scheduled credit/debit impact: $0.00 USD • State and guaranty assessments: $236.54 USD • Total estimated annual cost: $47,545.34 USD • Approximate monthly billing: $3,962.11 USD

FAQ

Can I model multiple class codes?

Sum the payroll and premium across each class code separately, then enter the total payroll and the weighted average manual rate to approximate the blended effect.

How do I reflect an experience mod change midterm?

Run the calculation twice—once with the expiring modifier and once with the new factor—to understand the incremental cash impact and adjust your accruals.

What if my carrier bills quarterly instead of monthly?

Multiply the monthly billing output by three to estimate the quarterly installment, or divide the annual cost by the actual number of installments in your payment plan.

Additional Information

  • Manual premium equals (payroll ÷ 100) × the class code's manual rate before modifiers are applied.
  • Experience modifiers below 1.00 reduce premium, while factors above 1.00 increase it based on loss performance.
  • Most states assess small guaranty fund or administration surcharges on the net premium; leaving the field blank assumes a 0.50% load.

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