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Louisiana Workers' Comp Rate Calculator

Estimate a Louisiana workers' comp premium from payroll, a rate per $100 and your experience mod. Default rates are illustrative.

Regulator
Office of Workers' Compensation Administration, Louisiana Works
Market Type
Competitive private market
Rating Organization
NCCI
Class System
NCCI class codes
Step 1 — Your Business
About Your Louisiana Business
Step 2 — Experience & Claims
Your Claims History
Total Incurred ($)
# of Claims
Year 1
Year 2
Year 3
Step 3 — Compare Options
Coverage Options
Your Results
Premium Estimate
Estimated Annual Premium
$0
Payroll/100 × Rate × EMR
YearEstimate
Illustrative Mod Path (3 Years)
Current Path
PEO Path

An estimate, not a quote. How this calculator works.

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Workers' comp in Louisiana: what's different

The Louisiana Department of Insurance (LDI) describes the state's workers' comp market as competitive, and the law adds a backstop insurer. Employers buy from admitted insurers, join a group self-insurance fund, or self-insure. The Louisiana Workers' Compensation Corporation (LWCC), a private nonprofit mutual created by statute, serves as the residual market. The Office of Workers' Compensation Administration (OWCA), part of the state agency now called Louisiana Works, enforces the coverage mandate. NCCI files advisory loss costs with LDI.

Who must carry coverage

La. R.S. 23:1035 applies the law to every person working in an employer's trade or business, and that section sets no minimum number of employees. Louisiana Works says most employees are covered from their first day, whether they are full-time, part-time, seasonal, or minors. Under La. R.S. 23:1044, anyone performing services in a covered business is presumed to be an employee, and a corporation's executive officers count as employees.

Points that matter for a small business:

  • Owners who opt out. A sole proprietor, a partner, a corporate president, vice president, secretary, or treasurer owning at least 10% of the stock, or an LLC member with at least a 10% interest can sign a written agreement with the insurer or group fund to be excluded. The election covers every business that entity runs, and the electing owner's pay is left out of the premium base.
  • Independent contractors. A contractor is normally outside the law, but a contractor who spends a substantial part of the work time doing manual labor is expressly covered.
  • Household and farm help. Work for a private residential householder, or on a private unincorporated farm, is exempt when the worker earns $1,000 or less a year and the work is not part of a trade or business. For farm work, total pay to all of the farm's employees must also be $2,500 or less. Musicians and performers working under a performance contract are also exempt.
  • Real estate agents. Licensed brokers and salespeople working under a licensed broker are excluded.

Construction and other contracting chains follow the statutory employer rule in La. R.S. 23:1061. A principal that hires a contractor for work that is part of its own trade or business can owe benefits to the contractor's workers. Outside of work covered by a contract with a third party, that relationship generally requires a written contract that recognizes the principal as a statutory employer. When the principal pays, it can seek indemnity from the employer who should have paid.

Where coverage comes from

La. R.S. 23:1168 lists the ways to secure compensation:

  1. An insurance policy from a company authorized to write workers' comp in Louisiana. Policies generally must come from an admitted insurer. Only buyers with a full-time insurance manager, at least $25,000 in yearly premium on all risks, or at least 25 full-time employees may use a non-admitted carrier. Policy forms need the insurance commissioner's approval.
  2. A group self-insurance fund. Five or more solvent private employers in the same bona fide trade or professional association can pool their liabilities.
  3. Individual self-insurance. OWCA's assistant secretary must approve it. The employer deposits securities or a surety bond equal to at least its average yearly claims over the last three years and shows proof of excess coverage.

LWCC also sells policies. Besides the residual market, the law tells it to offer a competitive program for preferred risks.

Who sets rates

NCCI is the licensed rating organization that files recommended loss costs for Louisiana. A loss cost covers expected claims, not insurer expenses. Carriers usually add expenses through a loss cost multiplier. LWCC is exempt from the commissioner's rate regulation and sets its own rates on a class code basis.

The latest LDI approval announcement we found is from December 28, 2023. In it, the commissioner approved NCCI's filing for a 9% reduction taking effect in May 2024. NCCI later filed a -8.7% change for May 1, 2025, and on November 12, 2025, it filed a -5.3% change for May 1, 2026. As of October 17, 2026, we found no LDI announcement of a decision on either filing. LDI's website blocked our requests, so we checked archived copies of its press release list, the latest from June 11, 2026.

Experience rating

NCCI calculates experience mods under its Experience Rating Plan. NCCI's guide to the Plan lists the states where it does not apply and the states where another bureau computes intrastate mods, and Louisiana is on neither list. Louisiana law also refers to experience modification factors (La. R.S. 23:1172.2). A mod usually compares about three years of your payroll and losses with those of similar employers. NCCI says rating is mandatory once your premium meets the state's eligibility point. Knowingly misstating payroll, worker classes, or loss history to lower a mod is a crime punishable by one to ten years in prison.

If no insurer will write you

LWCC is the residual market. Its statute says it exists to cover employers that tried in good faith, without success, to buy coverage in the voluntary market. An employer that cannot get coverage from an admitted insurer rated A- or better qualifies as an "accepted risk" and must apply through a licensed Louisiana agent. LWCC may turn you down for unpaid premium on its current or past policies, or for failing to disclose ownership, operations, or payroll accurately. The old Louisiana Workers' Compensation Assigned Risk Plan stopped writing new policies after September 30, 1992.

Penalties for going uninsured

  • Civil penalties. A workers' compensation judge can fine you up to $250 per employee for a first offense (capped at $10,000 for a related series) and up to $500 per employee after that. You also get an order to show proof of coverage within 45 days.
  • Criminal charges. Willfully failing to secure coverage can bring a fine of up to $250 for each day without coverage, up to one year in prison, or both. Two prior civil penalties within three years make a prima facie case of willfulness.
  • Shutdown. Repeat violators can face a cease and desist order, and the attorney general can then seek an injunction against further business operations.
  • Higher benefits. If you lacked coverage, an injured worker's weekly compensation rises by 50%.
  • Lawsuits. If you knowingly went without coverage and leave a final compensation judgment unpaid for 60 days after appeals run out, with no other policy paying, the worker can sue you for all legal damages.

Your ongoing obligations

  • Post the notice. La. R.S. 23:1302 requires a posted notice telling workers they must report an injury to you within 30 days. If it is not posted, the deadline stretches to 12 months. Louisiana Works publishes a compliance poster.
  • Report serious injuries. Within 10 days of learning of an injury that causes death or more than a week of lost time, send a report to your insurer. Louisiana Works calls this Form WC IA-1 (First Report of Injury or Illness). The insurer then submits the data to OWCA electronically.
  • Do not charge workers. You cannot deduct any part of the premium from wages. Violators also owe the worker $500 to $5,000 in civil penalties.
  • Proof of coverage. Your insurer reports the policy to NCCI and files proof of coverage within 30 days of the effective date. That proof must name every business entity in Louisiana that the policy covers.

Worked example: how the calculator estimates premium

Premium = (payroll / 100) x rate per $100 x experience mod

NCCI's public filing summaries give only the statewide change, and LDI's website blocked our requests, so we did not use an official class figure. Roofing is NCCI class 5551, but every number below is illustrative, not a Louisiana rate.

  • Annual roofing payroll (hypothetical): $300,000
  • Rate per $100 (illustrative, already including insurer expenses): $7.50
  • Experience mod (hypothetical): 1.10

The arithmetic

  1. Divide payroll by 100: $300,000 / 100 = 3,000
  2. Multiply by the rate: 3,000 x $7.50 = $22,500.00
  3. Multiply by the mod: $22,500.00 x 1.10 = $24,750.00

A 1.10 mod means this employer's claims ran worse than expected, so it pays 10% above the base.

Frequently asked questions

Does Louisiana have a state fund?

Not in the usual sense. LWCC was created by statute and is the residual market, but the law calls it a private, nonprofit corporation, a domestic mutual insurer, and not a state agency. It also competes for preferred-risk business.

Do I need coverage with only one part-time worker?

Usually yes. The coverage section of the law (La. R.S. 23:1035) sets no employee minimum, and Louisiana Works counts part-time, seasonal, and minor employees. The exemptions are narrow.

Can I leave myself off my company's policy?

Often. Sole proprietors, partners, LLC members owning 10% or more, and corporate officers owning 10% or more of the stock can opt out by written agreement with the insurer.

Official sources

Sources accessed 2026-10-17.

This is general information, not legal advice. Confirm details with the Office of Workers' Compensation Administration, Louisiana Works.

Reviewer: Sam Newland, CFP, Founder of Benefitra. Last updated October 17, 2026. How the calculator works. Editorial policy.