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Understanding Workers' Compensation Insurance Pricing in Texas for Various Industries

Updated: Dec 4, 2023


A chart showing different Workers' Compensation Insurance rates for various industries in Texas, illustrating the complexity of insurance pricing.
Analyzing Workers' Compensation Insurance Rates Across Industries in Texas

At Oliveira Insurance Agency, we recognize the complexity of Workers' Compensation Insurance pricing in Texas, especially for diverse industries. This article aims to shed light on how pricing is determined for various Standard Industrial Classification (SIC) codes and class codes.


Factors Influencing Texas Workers Compensation Insurance Pricing

1. Nature of the Industry influence pricing for Texas Workers Compensation Insurance: Workers' Compensation rates vary significantly across different industries. High-risk industries like construction may have higher rates compared to office-based businesses.

2. Company's Claims History: A company's history of work-related injuries and claims can impact insurance rates. More claims typically lead to higher premiums.

3. Employee Roles and Responsibilities: The specific roles and risk levels associated with different job positions within a company also affect insurance costs.



Pricing for Specific SIC and Class Codes

Artisan Contractors:

  • Landscape Gardening (Class Code 0042): Rates are determined by the risks involved in outdoor work and machinery use.

  • Plumbing and Air Conditioning (Class Code 5183): Factors include potential hazards related to plumbing and HVAC work.

  • Electrical Wiring (Class Code 5190): Electrical work carries inherent risks, influencing the insurance pricing.

  • Fence Installation (Class Code 6400): The physical labor and tools used in fence installation are considered in pricing.

Manufacturing:

  • Printing (Class Code 4299): The machinery operated and the factory setting play a role in insurance costs.

Retail:

  • Convenience Store (Class Code 8006) and Clothing Stores (Class Code 8008): Factors like customer foot traffic and employee tasks impact rates.

Auto Service:

  • Service Stations (Class Code 8387) and Auto Repair Shops (Class Code 8391): The nature of automotive work and associated risks affect pricing.

Service and Office Industries:

  • Real Estate Agencies (Class Code 8742) and Law Offices (Class Code 8820): Lower risk environments lead to different pricing considerations compared to more hazardous industries.

Restaurant:

  • Restaurants (Class Code 9079): The bustling environment and kitchen hazards are key factors in rate determination.

Conclusion

Workers' Compensation Insurance is essential for businesses across Texas, regardless of industry. Understanding how rates are determined for your specific SIC or class code is crucial for budgeting and risk management.


For tailored advice on Workers' Compensation Insurance in Texas, contact Oliveira Insurance Agency at (469) 771-1500. We offer expert guidance for a range of industries, ensuring your business is adequately protected.



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