Workers' Comp Class Codes for Hotels: A Guide
Understanding workers' comp class codes is crucial for hotel businesses to ensure you're properly covered and avoid unexpected insurance costs. This guide breaks down the class codes specific to hotels and hospitality and explains how they impact your workers' comp premiums.
What are Class Codes and why do they matter?
If you've looked into workers' comp insurance for hotels, you’ve likely come across the term "class codes."
A class code is four-digit numbers assigned by the National Council on Compensation Insurance (NCCI) to reference a specific job role. Each job role has a description of the type of work done and a numeric rate for the level of risk involved. The higher the risk, the higher the workers' comp rate for that class code.
For hotels, understanding these codes helps ensure you’re paying the correct rate for your business and that your employees are appropriately covered in case of work-related injuries or illnesses.
Common Workers’ Comp Class Codes for Hotels and Hospitality
Hotels have a wide range of employees, from front desk staff and housekeeping to restaurant and maintenance workers. Interestingly, most hotel roles fall under a single class code: 9052.
Hotel Staff Class Code 9052
This code covers almost all hotel staff, including front desk workers, housekeeping, bellhops, maintenance staff, and even salespersons. Although you might expect clerical roles like front desk staff to be classified differently, they are still included in the same class code as more physically demanding roles, like housekeeping.
Hotel Restaurant Class Code 9058
If your hotel has a restaurant, workers employed specifically for restaurant duties fall under class code 9058. This code applies to staff involved in food preparation, serving, and restaurant management.
State-Specific Hotel Class Codes
The workers' comp class code for hotel employees, 9052, remains consistent across most states. However, some states use their own codes. Below are some state-specific codes for hotel employees:
9050 - Hotel/Motel (California)
This code is used specifically for hotel and motel employees in California. It covers the same roles as 9052 but is used for state-specific compliance.
0973 - Hotel Employees (Delaware / Pennsylvania)
In Delaware and Pennsylvania, class code 0973 applies to most hotel workers, similar to 9052.
0945 - Hotel Restaurant Employees (Delaware / Pennsylvania)
For hotel restaurants in Delaware and Pennsylvania, class code 0945 is used to cover restaurant employees.
9079 - Hotel Restaurant Employees (California / New Jersey)
This class code applies to restaurant workers in hotels specifically in California and New Jersey.
How do Workers' Comp Class Codes affect Insurance Rates?
Workers' comp class codes are crucial because they determine how much you’ll pay in insurance premiums based on the roles within your hotel. Unlike other industries where jobs are classified separately by risk level, most hotel employees—whether they work in housekeeping, front desk, or maintenance—are classified under class code 9052, which applies a single rate across various roles.
However, if your hotel includes a restaurant however, those employees are classified under class code 9058, which often carries a slightly different rate. Understanding these distinctions ensures you're paying the correct premium and avoiding misclassifications that could lead to overpayment or lack of coverage.
Average Workers’ Comp Rates for Hotel Class Code 9052
Below are the average hotel workers’ comp rates for selected states:
Curious about how these rates translate into costs for your business? Check out this Guide to Hotel Workers’ Comp Rates.
Managing Risk with a strong Safety Program
Hotels employ a variety of workers with different tasks, from housekeeping to landscaping, but they all fall under the same class code. Managing risk across these different roles is crucial for keeping your workers' comp premiums low. A tailored safety program can help prevent injuries and reduce claims, which in turn lowers your costs over time.
Tips for reducing common injuries among Hotel Staff
- Teamwork for Housekeeping Staff: Encourage housekeepers to work together to avoid overexertion when lifting heavy items like mattresses. Using lifting aids can also help reduce the risk of injury.
- Ergonomic Tools for Housekeeping and Maintenance: Provide long-handled vacuums, battery-powered tools, and ergonomic equipment to minimize repetitive motion injuries. Non-slip shoes should also be worn by all staff to prevent falls.
- Safety Gear for Kitchen Staff: Restaurant employees should wear protective gear, including gloves and non-slip shoes, to prevent cuts, burns, and slips.
- Pre-Shift Stretching and Breaks: Train all staff, particularly those in physically demanding roles, on body mechanics and encourage them to do stretching exercises before shifts. Taking regular breaks is also essential for avoiding fatigue-related injuries.
Find the right Workers' Comp Rates for your Hotel Business
Want to know how much workers' comp insurance will cost for your hotel or hospitality business? Use our online tool to get a tailored quote and find out how much you could save!
Note: The information provided in this blog is intended for general informational purposes only and is not a substitute for professional legal or insurance advice. Laws and regulations regarding workers' compensation insurance are complex and vary by state and by specific circumstances. Therefore, readers are encouraged to consult with a qualified legal or insurance professional to obtain advice with respect to any particular issue or problem they might have.
Mordechai Kamenetsky, co-founder and lead agent of Kickstand, is recognized as an expert in workers' compensation. He is passionate about helping small businesses manage risks and lower their workers' comp costs. In his articles, he educates readers and clients on the intricacies of workers' comp insurance.
The question people ask us most often is, “Does my business need workers comp?” This often leads to the second-to-most frequently asked question: ”Do owners need workers comp?”
