Workers' Comp Insurance for Electrical Businesses in Michigan

Electrical contractors performing wiring inside buildings use NCCI class code 5190. Outside line work uses different codes (7601). Rates are generally moderate, reflecting electrocution and fall hazards offset by strong industry safety culture in Michigan. The Michigan workers' compensation market is governed by CAOM, and the average rate statewide is approximately $0.97 per $100 of payroll.

Michigan requirements for electrical businesses

When required: Required for employers with one or more employees working 35+ hours/week for 13+ weeks, or 3+ employees at any time.

Sole proprietors: Sole proprietors are exempt unless they elect.

Owner / officer exclusion: Officers may be excluded.

Electrical class codes used in Michigan

Why electrical workers' comp is tricky in Michigan

Electricians often perform low-voltage work (security, AV, telecom) which has its own class code at lower rates (5191). Properly splitting these can save significant premium.

Tips for Michigan electrical contractors

• ✓ Document low-voltage vs power wiring split — 5191 is much cheaper than 5190
• ✓ Maintain OSHA 10/30 training records for arc flash and lockout/tagout
• ✓ Outside line work (utility) is class 7601 — different rates

Electrical workers' comp in other states

Rates and requirements for electrical contractors vary widely by state. Compare Michigan to other major markets:

Other industries in Michigan

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