Workers' Comp Insurance for Electrical Businesses in Texas

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 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 electrical 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.

Electrical class codes used in Texas

Why electrical workers' comp is tricky in Texas

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 Texas 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 Texas to other major markets:

Other industries in Texas

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