NCCI Class Code Can Be Complex
I have received a large number of questions on NCCI class code over the last month. I seem to receive the most about how to correctly match a company’s jobs to the class codes they have been assigned at the inception of the policy or at the premium audit.

The NCCI Class Codes are not necessarily based on a company’s SIC codes or NAIC codes. There are often NAIC codes within a classification code’s description. However, they cannot just be arbitrarily matched to the class codes. The matching can be very confusing and could even cause a company to pay even more on Workers Comp premiums in a down economy.
The easiest way to match your company to the class codes is by examining:
- Experience Modification Factor sheets provided by NCCI
- Your initial policy
- The year-end premium audit and billing
Do they look accurate? That is one of the most ambiguous questions in Workers Compensation as there are almost 600 NCCI or State Rating Bureau class codes that can possibly be matched to your business. It is not an easy process and, as previously mentioned, it could cost you more in the long run.
I will post on Standard Exception codes 8810 and 8742 next time. These codes that can save or cost your company a large amount of $$$.
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