Workers Comp for Homecare Agencies

Workers Comp for Homecare Agencies

For a no-obligation quote, complete our easy workers compensation application HERE.


Workers comp is required for homecare agencies in all states but Texas, and responds to injury to an employee while on the job. The benefits provided are 100% of medical treatment costs and a percentage of pre-injury wages (typically 70%).


Workers comp is priced as a percentage of payroll by classification of employee. A typical homecare agency might have the following classifications:

  • 8835 - Home Care Employees
  • 8810 - Clerical
  • 8742 - Outside Sales (applicable to both sales persons and supervisory-only client visits)


And rates might be the following:

  • 8835 - 2.23%
  • 8810 - 0.24%
  • 8742 - 0.77%


The premium calculation is your payroll in each classification, times the rate for that classification, summed. For example:

  • $100,000 in 8835, times 2.23%, equals $2,230
  • $30,000 in 8810, times 0.24%, equals $72.00
  • $50,000 in 8742, times 0.77%, equals $385.00
  • For a total of $2,687


I'll walk you through an example of a real policy in the video below.

One thing to keep in mind. All workers comp policies are based on an estimated payroll amount, and then are audited at the end of the policy period. The audit process compares estimated payroll to actual payroll and bill/refunds the difference.


We Offer Home Care Workers Comp Insurance In 45 States

Workers' comp for homecare agencies can be difficult to find expensive once you find it. It is better now than it used to be, but still can be a challenge. The best way to minimize cost is to keep claims low over multiple years. A few ideas to make that happen:

  • Always investigate injuries immediately after they occur
  • Let employees know that investigations will always happen
  • Put a zero tolerance for workers comp fraud statement in your new-hire package
  • Choose a provider near you that you can send injured employees to


We've been helping home healthcare service providers find affordable coverage for over 28 years. Our team of specialists understand the unique underwriting requirements for workers comp for homecare agencies. That's why we've developed programs designed to help you get the best rates and most flexible payment options.

There Are Three Ways to Start the Process Towards a Workers' Comp Quote:


Complete our on-line application by
clicking HERE.


Call Jason Miller at 800-866-2682, Ext. 101, or shoot him an e-mail at Ask him which workers comp. program will be a fit for your situation. He will ask you a series of simple questions and let you know what rates and insurers we have available.



E-mail your current declarations pages to, to the attention of Jason Miller. With it, we can do a quick comparison to see if there are any savings available.


Workers' Comp Payment Plans

There are two methods by which workers' comp insurers arrange payment plans. Here we will Refer to them as the 'Traditional' method and the 'Pay-As-You-Go' method.


Traditional Method: At the beginning of a policy, an insured makes an estimate of payroll which generates an estimated annual premium. Monthly payments are made based on the estimate until the end of the policy year. At that time, a premium audit is conducted. The premium audit simply compares estimated payroll versus actual payroll for the policy year. If the payroll is less than estimated it generates a refund; if payroll is more than estimated it generates an invoice.


Pay-As-You-Go Method: An insured will, each month or quarter, complete a payroll reporting form with actual payroll by class code. On the form, an easy calculation is made which shows the total workers' comp. premium for the reporting period. With Pay-As-You-Go, an insured is never ahead or behind on their workers' compensation burden, an added plus if your payroll fluctuates seasonally or you are experiencing rapid growth!