MI · CAOM

Workers comp rates and rules in Michigan

Michigan has 386 workers comp class codes with filed rates, a maximum weekly benefit of $1,190 (80% of average weekly wage), and a statute of limitations of 2 years. Verified 2026-05-08.

Cheapest code $0.030 Real Estate Clerical
Median rate $0.420 across 50 top codes
Priciest code $0.630 Automobile Salespersons

Class code rate comparison

The top 50 workers comp class codes filed in Michigan, sorted from cheapest to most expensive per $100 of payroll. Cross-state percentile shows where each code sits versus the same code in other states.

State Occupation Code Rate per $100 vs peers Source
Michigan Real Estate Clerical 8803 $0.030 55% view
Michigan College Other Employees 8820 $0.050 32% view
Michigan Clerical office 8810 $0.070 41% view
Michigan Telephone/Telegraph Companies 8901 $0.100 55% view
Michigan Advertising Sales 8755 $0.130 33% view
Michigan Salesperson, outside 8742 $0.140 36% view
Michigan Jewelry Stores 8013 $0.170 36% view
Michigan Consulting Engineers 8601 $0.180 55% view
Michigan Freight Handlers 7920 $0.190 - view
Michigan Telemarketing Clerical 8814 M $0.200 94% view
Michigan Physician, non-surgical 8832 $0.200 71% view
Michigan Medical Office Clerical 8805 M $0.220 94% view
Michigan Drug Manufacturing 4511 $0.250 33% view
Michigan Telecom Line Construction 7610 $0.250 41% view
Michigan College, non-faculty 8868 $0.250 45% view
Michigan Barber, beauty parlor, hair stylist 9586 $0.250 50% view
Michigan Clerical Telecommuter Employees 8815 M $0.280 94% view
Michigan RV Salespersons 8748 $0.290 45% view
Michigan Home Health Care - All Other 8869 $0.350 20% view
Michigan Railroad Shop Employees 7421 $0.360 41% view
Michigan Retail Bakery 8045 $0.360 32% view
Michigan Oil & Gas Pipeline Operation 4829 $0.380 14% view
Michigan Electrical Wiring Devices Manufacturing 3681 $0.400 50% view
Michigan Retail Stationery Store 8047 $0.400 38% view
Michigan Fruit & Vegetable Stores 8015 $0.410 50% view
Michigan Plaster or Plasterboard Manufacturing 4150 $0.420 20% view
Michigan YMCA, YWCA, gym 9063 $0.420 48% view
Michigan Iron/Steel Scrap Dealer 8401 $0.430 - view
Michigan Wire Goods Manufacturing 3341 $0.440 - view
Michigan Storage Battery Manufacturing 4692 $0.440 59% view
Michigan Club Operations 9065 $0.440 33% view
Michigan Video Production 4361 $0.450 41% view
Michigan Oil & Gas Well Drilling 4825 $0.500 80% view
Michigan Drug Stores 8008 $0.510 36% view
Michigan Retail Liquor Store 8050 $0.510 - view
Michigan Property Management NOC 8737 M $0.520 94% view
Michigan Waterworks Company 7515 $0.530 41% view
Michigan Railroad Clerical Office 7422 $0.540 25% view
Michigan Clothing Manufacturing, Hand 2503 $0.560 48% view
Michigan Plumbing - Commercial/Industrial 5191 $0.560 41% view
Michigan Explosives Manufacturing 4611 $0.580 64% view
Michigan Construction Supervisor 5606 $0.580 73% view
Michigan Insurance Adjusters 8734 M $0.580 94% view
Michigan Electrical Instrument Manufacturing 3685 $0.590 81% view
Michigan Film Manufacturing 4351 $0.600 59% view
Michigan Battery Manufacturing 4693 $0.600 71% view
Michigan Hospital Other Employees 8831 $0.600 41% view
Michigan Automobile Rental 7539 $0.610 27% view
Michigan Hotel, all other employees 9058 $0.610 35% view
Michigan Automobile Salespersons 8720 $0.630 59% view

Bottom quartile (cheap) Mid Top quartile (expensive) This state

Michigan coverage rules & benefits

Coverage threshold

Employers with 3 or more employees, or 1 employee working 35+ hours/week for 13+ weeks.

Max weekly benefit

$1,190 (80% of average weekly wage), effective 2024.

PPD weeks

269 weeks of permanent partial disability (whole-body schedule).

Death benefit

Up to $595,000 in fatal-claim death benefits to dependents.

Statute of limitations

2 years from injury date to file the claim.

1099 contractor treatment

Generally considered independent contractors if they meet specific criteria, otherwise they may be reclassified as employees.

Owner exclusion

Allowed. Sole proprietor self-coverage: optional. LLC member self-coverage: optional.

State fund

Accident Fund Insurance Company of America is the state-administered carrier.

Estimate your premium in Michigan

Pre-filled to Michigan. Pick your industry and payroll to see a real premium range from filed rates.

Estimate your workers comp premium

Pick your industry, state, and annual payroll. Range comes from real rate filings.

Estimated annual premium for Manufacturing in Michigan

$1,250to$31,350

Median: $7,200 · Rate range $0.250 to $6.27 per $100 payroll

Industry median across all states

$7,300

Cheapest states for Manufacturing

  • Utah $0.490
  • Kentucky $0.940
  • Virginia $0.950

Most expensive

  • California $4.74
  • New Jersey $3.56
  • Hawaii $2.94

Estimate based on 24 states of rate-filing data. Actual premium also reflects experience modifier, schedule credits, and carrier underwriting.

Filing & compliance in Michigan

  1. Step 1, Confirm coverage threshold

    Employers with 3 or more employees, or 1 employee working 35+ hours/week for 13+ weeks.

  2. Step 2, Determine class code

    Your premium uses the NCCI class code that best matches your operation. The wrong class code can cost 4-10x more or get reclassified at audit.

  3. Step 3, Get a quote (or use the state fund)

    Accident Fund Insurance Company of America is one option; private carriers like Travelers, Hartford, and Liberty Mutual also write coverage in Michigan. Schedule credits up to 25% are typical for low-loss accounts.

  4. Step 4, Track payroll & subcontractors

    General contractors can be held liable for uninsured subcontractors. Keep certificates of insurance for every sub.

  5. Step 5, Annual audit

    Carriers audit payroll within 90 days of policy expiration. Have payroll segregated by class code, job descriptions on file, and overtime properly excluded from rated payroll.

Penalty for non-coverage: Misdemeanor, fines up to $10,000, imprisonment up to 1 year, and liability for all benefits and penalties.

Michigan workers comp FAQs

Who has to carry workers compensation insurance in Michigan?

Employers with 3 or more employees, or 1 employee working 35+ hours/week for 13+ weeks.

What is the maximum weekly workers comp benefit in Michigan?

The current maximum weekly benefit in Michigan is $1,190 (effective 2024). Benefits are typically 80% of the average weekly wage, capped at the state maximum.

How long do I have to file a workers comp claim in Michigan?

The statute of limitations for filing a workers compensation claim in Michigan is 2 years from the date of injury. Notice to the employer is typically required within 30 days.

Are 1099 contractors covered by workers comp in Michigan?

Generally considered independent contractors if they meet specific criteria, otherwise they may be reclassified as employees.

Can business owners exclude themselves from workers comp coverage in Michigan?

Yes, Michigan allows business owners (sole proprietors, partners, LLC members, corporate officers) to exclude themselves from coverage by filing the appropriate election form. Sole-proprietor self-coverage is not required; LLC member self-coverage is not required.

What is the penalty for not carrying workers comp in Michigan?

Misdemeanor, fines up to $10,000, imprisonment up to 1 year, and liability for all benefits and penalties.

When does my workers comp carrier audit my payroll in Michigan?

Michigan typically requires a payroll audit within 90 days of policy expiration. Final premium is reconciled to actual payroll, and class code allocation can shift based on the audit findings. Keep payroll segregated by class code and have job-duty documentation ready.

Am I liable for subcontractors' workers comp in Michigan?

General contractors can be held liable for uninsured subcontractors.

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