Workers' Comp Insurance for Auto Repair Businesses in Arizona

Auto service / repair (NCCI 8380) is moderately-rated with claims driven by chemical burns, lifting, and pneumatic tool injuries. Body shops (9521) and tire shops have separate codes in Arizona. The Arizona workers' compensation market is governed by NCCI, and the average rate statewide is approximately $1.17 per $100 of payroll.

Arizona requirements for auto repair businesses

When required: Required for any employer with at least one employee, regardless of hours.

Sole proprietors: Sole proprietors are exempt and cannot purchase coverage on themselves.

Owner / officer exclusion: Corporate officers who own at least 25% may elect out.

Auto Repair class codes used in Arizona

Why auto repair workers' comp is tricky in Arizona

Body shops have higher rates than mechanical repair due to paint exposure and heavier lifting. Lot attendants and parts staff should be split out to reduce blended rate.

Tips for Arizona auto repair shops

• ✓ Body work vs mechanical = different codes
• ✓ Sales staff and parts counter can be split into lower-rated codes
• ✓ Lift safety training and proper PPE earn schedule credits

Auto Repair workers' comp in other states

Rates and requirements for auto repair shops vary widely by state. Compare Arizona to other major markets:

Other industries in Arizona

Arizona workers' comp rates and requirements for other common industries: