Why is my rate different than what I was quoted?

Okay. This gets a *little* complicated, but bear with us!

There are actually two versions of a “rate”:

1. The straight class code rate, which is based on the rate per $100 in payroll. This is the rate that shows up on your quote.
   
   
2. The blended rate, which is the straight class code rate PLUS all the fees, taxes, and credits, etc. included. This is the rate that shows up on your bill.  

Let’s walk through an example to see how this works:

If you have employees who are all classed as 8810, the straight rate may be ten cents per $100 in payroll, and your annual workers’ comp premium might be quoted at $1000 per year.  

So your quote is for $1000 in premium, but that’s not the full cost of your policy. Including all taxes and surcharges, your annual total could come to $1250. In the blended rate, that extra $250 gets factored in, and becomes $0.125 (twelve and a half cents) per $100 in payroll.    

You can also see this information break-down on the main information (or scheduled rating) page of your policy.

The blended rate may increase or decrease the straight class code rate depending on the individual policy.