In South Carolina, like in all states, there isn't a one-size-fits-all workers’ comp insurance rate for businesses. Instead, your South Carolina workers’ compensation insurance rate will vary based on the industry you operate in, the size of your payroll, and your claims history.
To help you determine your workers’ compensation insurance rates in South Carolina, we've compiled a list of the state's most common industries and the corresponding rates from one of our partner carriers.
The rate you see reflects the anticipated cost for every $100 of your payroll. Once you’ve identified your rate, we'll help you calculate your overall premium.
*Premiums are estimated based on a hypothetical $25,000 annual payroll.
Once you've identified your rate, calculating your premium is a simple process. Here's the formula you'll use:
(Annual Employee Payroll / $100) x Industry Rate = Your Estimated Premium
Start with your total expected gross annual payroll for all employees, divide that amount by $100, and then multiply by your industry rate.
For example, if you run a commercial janitorial business with two employees and a combined payroll of $90,000, you would divide that by 100, resulting in $900. Then, multiply this by the South Carolina rate for janitorial businesses, which is $3.43. This will give you an approximate estimate of your workers' comp premium, amounting to $3,087.
Please note: This estimation does not account for taxes and fees. Additionally, your claims history could influence the final cost.
While some factors, such as industry regulations, cannot be controlled, there are several ways you can proactively manage your workers' compensation expenses:
Implement safety programs to prevent workplace accidents and reduce the number of claims filed.
Ensure you are correctly classified by reviewing your business operations and employee roles. Inaccurate class codes can lead to higher rates.
Maintain an accurate payroll record, as your workers' compensation premiums are partially based on your payroll numbers.
The maximum weekly compensation rate in South Carolina is determined yearly and directly affects the compensation payouts for lost wages and medical treatment costs. For sole proprietors, LLC owners, partners, and corporate officers, workers' compensation coverage is optional, but some may choose to obtain a certificate of insurance for added protection.
By taking control of the factors within your reach, you can effectively manage your workers' compensation insurance rates in South Carolina, making sure that both your employees and your business are adequately protected.
If you need help figuring out your rate or estimated premium, we've got you covered. Contact us at (866) 338-8823 for personalized support, or start an instant quote to get a quick estimate of your workers' comp premium. At Kickstand Insurance, we're dedicated to simplifying the complexities of workers' compensation insurance for you.
Note: The rates listed above have been provided by one of our partner insurance carriers, and were accurate at the time of publishing and for illustrative purposes only and may not reflect actual current rates for workers' compensation insurance in South Carolina at this time. Various factors, such as claim history and business experience can affect the rate as well. Business owners should consult with an insurance agent or the NCCI for accurate and up-to-date rate information.
Note: The information provided in this blog is intended for general informational purposes only and is not a substitute for professional legal or insurance advice. Laws and regulations regarding workers' compensation insurance are complex and vary by state and by specific circumstances. Therefore, readers are encouraged to consult with a qualified legal or insurance professional to obtain advice with respect to any particular issue or problem they might have.
Mordechai Kamenetsky, co-founder and lead agent of Kickstand, is recognized as an expert in workers' compensation. He is passionate about helping small businesses manage risks and lower their workers' comp costs. In his articles, he educates readers and clients on the intricacies of workers' comp insurance.