Texas Workers Comp Class Codes — 2026 NCCI Rates
Texas Workers Compensation | NCCI Advisory Rates | Bright Coast Insurance
About Texas Workers' Compensation
Texas is unique in that workers' compensation insurance is not mandatory for most private employers. However, employers who opt out ('non-subscribers') lose certain legal protections and face unlimited liability for workplace injuries. The Texas Department of Insurance (TDI) regulates the market using NCCI advisory loss costs.
Coverage Requirements in Texas
Texas does not require most private employers to carry workers' compensation insurance, but non-subscribing employers lose statutory defenses in injury lawsuits. Government contractors and construction employers working on public projects are typically required to carry coverage. Rates shown are NCCI advisory loss costs effective July 1, 2025.
Average Rate & Top Construction Class Codes
The average workers' comp rate in Texas is approximately $1.55 per $100 of payroll. Construction trades carry higher rates due to elevated injury risk. Below are the most common construction class codes:
| Code | Description | Rate |
|---|---|---|
| 5551 | Roofing - All Kinds | $5.50/$100 |
| 5645 | Carpentry - Detached Dwellings | $6.20/$100 |
| 5022 | Masonry NOC | $4.20/$100 |
| 5190 | Electrical Wiring - Buildings | $2.60/$100 |
| 5183 | Plumbing - All Operations | $2.40/$100 |
How to Calculate Your Premium in Texas
Your annual workers' comp premium is calculated as: (Total Annual Payroll ÷ 100) × Class Code Rate × Experience Modification Rate (EMR). New businesses typically start with an EMR of 1.0. A drug-free workplace program can reduce your rate by up to 5% in most states.
Get a Workers' Comp Quote in Texas
Bright Coast Insurance provides workers' compensation quotes for businesses in Texas and across the country. Call or text (239) 323-0785 or request a free quote online. Same-day certificates of insurance available for qualifying accounts.