Foundations
Evergreen explainers on the experience rating worksheet, the formula, the three-year window, and the common error types that quietly inflate contractor premiums.
What Is an Experience Modification Rate?
Your EMR multiplies every workers' comp premium check. NCCI calculates it from carrier-reported data but doesn't audit that data, and that's where the leaks happen.
The Workers' Comp Premium Formula Explained
Most contractors pay the bill without ever seeing how the number is built. The formula has three inputs, and once you understand where each one comes from, the room for error becomes obvious.
How One Claim Can Haunt Your Mod for Three Years
A single claim doesn't just hit your premium once. It rides three consecutive renewals, and the path from injury to drop-off runs about four to five years total.
The Valuation Date: When Your EMR Numbers Get Locked In
There is a specific day when each claim's dollar value freezes for purposes of your mod. Whatever the file looked like on that day is what enters the calculation, regardless of where the claim later went.
Workers' Comp Classification Codes: The Expensive Error
The rate spread between similar-sounding classification codes can run 50% or more. Misclassification doesn't self-correct, and most contractors never notice the wrong code is on their policy.
Workers' Comp Reserves: The Hidden Cost in Your Mod
A claim that settles cheap can still inflate your mod for three years. The number that matters isn't what the claim cost; it's what the reserve read on the day NCCI looked.
Medical-Only vs. Lost-Time Claims and Your Mod
Same injury, same dollar payout, different box on the form. Medical-only or lost-time, the carrier's choice quietly decides how much each claim costs your premium for the next three years.
Why 10 Small Claims Hurt Your EMR More Than One Big One
Two contractors with identical total claim payouts can end up with very different mods. The reason is buried in the split point math, and it pushes frequency well ahead of severity in dollar-for-dollar impact.
Return-to-Work Programs: A Concrete Path to a Lower Mod
Most workers' comp savings strategies depend on things you can't change. Return-to-work programs are the rare one where what you do in the next 60 days directly affects your mod for years.
Why a 'Good' EMR Still Costs You: Minimum Mod Explained
There is a number on your worksheet most contractors have never seen. It is the floor your mod could reach. The distance from there to your current mod is the only number that matters at renewal.
Find Out If Your Mod Is Wrong
Upload your NCCI experience rating worksheet. We'll review it at no cost. If we find errors, you only pay when we recover your money.
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