Workers' Compensation Discussion Forums

Hello I have a question and was wondering if anyone could help?

I am an employer and I dont really understand the class code process and/or how workers comp is determined. I found some links and read up on it but the question I can not find an answer for is:
Can an employee be in two different class codes? And if so how do they determine what percent/cost of your payroll is link to which class code your in?

I wholesale produce. I have 3 employees not including me ( I have do not have coverage on myself), but I have like 4 class codes. It just seems to me like Im paying for 12 employees (3employees x 4 class codes) instead of three?? Is this correct or should each employee have only one class code?

One more question? I know payroll determines premiums also. I am pretty sure overtime does not count but hourly wages do. Does a bonus count or its it exempt like over time????

Thanks

each state has it's rules on rating and payroll. there is a rating manual authorized each year by your state insurance commissioner. your broker or carrier can probably handle your specific questions for your state.
generally class codes are strictly controlled and wages from a single employee can only be split if the class code allows it and only if strict segragation of work and risk exposure is maintained.
the same for overtime. states have strict rules as to how it's to be accounted for.
your carrier or broker will know how your state regulates the codes you use.

Thank you for the reply. I actually have asked my contact before but she just says yes its correct and I dont know enough about it to ask specific questions. I think i just need to try a new rep. maybe even from another company and see how that goes...

Thanks again,

each state has there own resources and rules on workers comp so it's difficult to provide more specific information without knowing yours.

We are in WV. Payroll is about 80,000 a year. 3 employees (not including me but I do not take out workers comp on myself) who sort/grade produce all day. 1 of those 3 sometimes runs a fork truck. (not a tow motor, just the little motorized walk behind type pallet jacks).
What else do you need to know?

yes West Virginia does use the NCCI classification & rating system.
the west virginia office of the Insurance commissioner maintains and administers the work comp rating information for those writing workers comp in west virginia.
if you contact their office they should be able to explain in more detail how the class codes on your business are are used
materials on west virginia comp rates for various codes are here
http://www.wvinsurance.gov/WorkersCompen...fault.aspx
it also maintains a telephone list of every carrier for customer contact information
http://www.wvinsurance.gov/LinkClick.asp...73&mid=752

Thanks again for all the help...