Workers' Comp Insurance for Auto Repair Businesses in Texas

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 Texas. The Texas workers' compensation market is governed by TDI, and the average rate statewide is approximately $1.04 per $100 of payroll.

Texas requirements for auto repair businesses

When required: OPTIONAL — Texas is the only state where private employers are NOT required to carry workers' comp.

Sole proprietors: Optional for sole proprietors.

Owner / officer exclusion: Officers may be excluded if employer chooses to carry coverage.

Auto Repair class codes used in Texas

Why auto repair workers' comp is tricky in Texas

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 Texas 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 Texas to other major markets:

Other industries in Texas

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