Worker's Comp- You have questions, I have answers

[cjnspecial]

This is a great thread.

I work in WA state. Here the state department of Licensing and Industries takes care of worker's comp. I pay an hourly rate based on the work. If we are doing tree work or using a chipper, I report that and pay about $2.25 per hour per employee regardless of salary. If we are landscaping its about $1. 25/ hour/ employee. The employee pays a few cents per hour as their contribution.

Are there other states that use the gov't instead of a private insurance company?

My friend is in IL and wants to go legit. What do rates look like that?

Thanks!!

Yep, Washington is a monopolistic state like Ohio. Never knew it was by hour, that's an interesting concept that doesn't penalize you for paying higher wages for good workers.
About IL: Assigned risk rate is 31.46%, minimum premium is $1000 effective 1/1/08.

 

[cjnspecial]

BTW. The rates above are all for class code 0106. That is the code used for arborist, ROW work using bucket trucks and tree removal on developed sites. Logging accounts are a whole other animal.

 

[corndogg]

Thanks cjn. Again, very helpful. Nice of you to give your time to help educate. That's the best part of knowing something, telling someone else. Now I only wish I knew something!

 

[NORTREE]

How about Vermont and New York? I am currently with Liberty Mutual but they claim NYS won't allow their coverage when we cross over into NY and that I need a second comp policy with the NYS Insurance Fund????????

 

[cjnspecial]

How about Vermont and New York? I am currently with Liberty Mutual but they claim NYS won't allow their coverage when we cross over into NY and that I need a second comp policy with the NYS Insurance Fund????????

Here's the deal...VT does cover your VT employees(Not employees you hire out of state) while working outside the state but New York's laws might require you to have a New York specific policy. NY had some changes late last year and they are still "reviewing" them so better be safe and call the Bureau of Compliance at (518) 486-6307. Try to get them to send you the guidelines in writing to cover your arse.
http://www.leg.state.vt.us/statutes/fullsection.cfm?Title=21&Chapter=009&Section=00619
http://www.wcb.state.ny.us/content/main/Small_Business/outOfStateEmp_compLaw.jsp

Seriously, talk to your agent about adding New York as a covered state because Liberty Mutual DOES write comp in New York and New York IS a competitive market(meaning you can get insurance from various companies). HOWEVER, if your policy with Liberty Mutual is is an assigned risk policy or it doesn't meet their underwriting guidelines, they may decline to cover out of state employees, operations, etc.

Almost forgot...VT's assigned risk rate is 25.64% with a minimum premium of $850.

 

[2FatGuys]

How about a NC list?

 

[TheArborist]

workman's comp

any info on north carolina?

 

[wireedm]

+1 on NC. THANKS for lending us your W.C. wisdom!

We were just recently audited by our W.C. carrier. We have (3) of our (12) employees listed as clerical, but the lady said that since one of the employees' office was on the shop floor he couldn't be listed as clerical. He is the shop operations manager with an enclosed office.........she didn't even go out and look at it! He never turns any handles on a machine!

Is there any recourse?

 

[cjnspecial]

North Carolina Assigned Risk Rates for a tree trimming/pruning/removal business: 43.87% $850 minimum premium

http://www.ncrb.org/ncrb/WorkersCompensation/Agent/tabid/93/ItemId/198/Default.aspx

 

[rbtree]

Yep, Washington is a monopolistic state like Ohio. Never knew it was by hour, that's an interesting concept that doesn't penalize you for paying higher wages for good workers.
About IL: Assigned risk rate is 31.46%, minimum premium is $1000 effective 1/1/08.

Yep, for a state run system, it is mighty good. Well, that is, since about 15 years ago, when they reclassified tree work--we are sort of linked in with road builders, or were. Now they call it tree removal and pruning but kept the same low rate. Back then the base rate was over $6.00 pr hour!! Now, it can go as low as 0.7 times the base rate of about 2.25, if you've had no claims. I also use the landscape rate for pruning jobs where we stay under 15 feet.

Last year, for 2 quarters, everyone got an appx 25% break, as the system was running a big profit, and they shared it with all employers. How's that for a government agency? Rare? Yep!!

Since I pay my help close to an average of $30 per hr, my rate is nice and low....

 

[cjnspecial]

+1 on NC. THANKS for lending us your W.C. wisdom!

We were just recently audited by our W.C. carrier. We have (3) of our (12) employees listed as clerical, but the lady said that since one of the employees' office was on the shop floor he couldn't be listed as clerical. He is the shop operations manager with an enclosed office.........she didn't even go out and look at it! He never turns any handles on a machine!

Is there any recourse?

Here's the deal on clerical workers: They cannot be exposed to any of the operative hazards of the business and have to be separated from all other work areas by floors, walls, pratitions or other physical barriers. In other words, he has to work in a physically separate office only. If he meets the qualifications, send your insurance company and agent a written explanation of his job duties/work area and invite them to come out if needed. If he doesn't meet the qualifications, pay up or stick him in an office.
It's not an uncommon situation, just review it with your agent before sending. Also, check your PM's.

 

[bobarama]

Florida?

I just started up a stump grinding business in central Florida. I have formed an LLC with 3 partners, myself and 2 sons. All of us will work, can we opt out of comp? Thanks for your input!

 

[RoyalTree]

What about a list for florida?