Workers Compensation coverage is a very important part of an integrator’s insurance program and protects employees when they are injured in the scope of their employment. Workers Compensation can also be a significant expense for integrators, so it is important to know the different classification codes that most insurance carriers use.
The National Council on Compensation Insurance (NCCI), gathers data, analyzes industry trends, and provides objective insurance rate and loss cost recommendations. They are also the entity that determines the different class codes. It is important to note that states can vary on the NCCI codes based on their respective rules and regulations of each state. Workers Compensation Insurance carriers utilize the services of NCCI to assist in writing Work Comp coverage.
The following are several of the codes and descriptions that are commonly associated with systems integrators:
- Class code 7600 is for Telecommunications Companies. In most states this code applies to telephone, cable TV, satellite employees. In California, it includes all employees at a telecommunications company. In Texas and Massachusetts, it includes burglar and fire alarm installation.
- Class code 7605 is Burglar and Security Alarm Installation or Repair. This is the code used in most states for integrators that install and service fire alarms that consist of a central control, smoke detectors and/or heat sensors. Also includes burglar alarm systems installation that utilizes a central control.
- Class code 9156 is called Electronic Equipment, Installation, Service or Repair. This code focuses on the audio and video work performed by integrators. It’s very common to have this code on your work comp as an NSCA member. There are a handful of states that do not utilize this code and they are MA, NJ, NY, SC, TX, and WI.
- Class code 5190 is for Electrical Wiring within Buildings. This applies to the installation of electrical wiring systems within buildings. There is no restriction as to the capacity of such wiring systems from an electrical standpoint, and the class applies equally to power circuitry as well as wiring for lighting purposes.
- Class Code 5191 is called Office Machine Installation, Inspection, Adjustment, or Repair. This code would be for those who are installing computers and computer related equipment along with printers, copy machines, etc.
Some other common codes you will see on your work comp that are not unique to Integrators would be:
- 8810 – Office Clerical, those employees working in the office, usually at a desk.
- 8742 – Outside Sales Representatives, those that travel outside the office performing sales duties.
If you have questions or would like someone to review your Workers Compensation policy and codes, please reach out to Chad Henry from TrueNorth.
This publication has been prepared by TrueNorth Companies, L.C.’s Risk Management division and is intended for informational purposes only. Transmission of this publication is not intended to create, and receipt does not constitute, a client relationship with TrueNorth Companies, L.C. This publication does not constitute any type of representation or warranty. This publication is not a contract and does not amend, modify or change any insurance policy you may have with an insurance carrier. © 2019 TrueNorth Companies, L.C. All rights reserved.
