Workers’ comp insurance cost for carpenters in Arizona

Q: What does workers' comp cost carpentry contractors in Arizona?

Modeled from the 2024 filed manual rate of $2.90 per $100 of payroll: a <5-employee carpentry shop lands around $1.5k–$5.9k per year before experience mods and schedule credits.

Q: What drives the rate up or down?

Three levers: payroll (the exposure base), claims history (the experience modifier), and schedule credits/debits the insurer applies. Finish carpentry work is NCCI class 5437 (Carpentry — Cabinet and Trim Work) — jobsite installation of cabinetry, interior trim, stairs, and millwork; framing and general carpentry (class 5403) and new-dwelling construction are rated separately.

Published 2026-06-11 · by Brokly

Direct answer: Arizona carpentry contractors pay a filed workers’-comp manual rate of $2.90 per $100 of payroll (2024 filed rate) — the 46th-highest of 51 US jurisdictions. Modeled on real payrolls, most <5-employee carpentry contractors land around $1.5k–$5.9k/yr, before experience mods and schedule credits.

64% of AZ carpentry contractors have <5 employees — the chart below prices every size band from its own observed payroll.
Arizona sits 46th of 51: UT pays more ($3.27), WV less ($1.99).
Workers’ comp is one of several coverages — see everything your carpentry shop needs in Arizona →

What do Arizona carpentry contractors pay for workers’ comp?

Modeled annual premium across the real size distribution of AZ carpentry contractors

bar height = how many carpentry contractors are that size · figures = modeled annual cost

typical · most AZ carpentry contractors

▼

<5 emp

≈$2.3k/yr

5–9 emp

≈$10k/yr

10–19 emp

≈$25k/yr

20–49 emp

≈$52k/yr

50–99 emp

≈$120k/yr

SMALLER

MID-SIZE

LARGER

A <5-employee AZ carpentry shop: modeled $1.5k–$5.9k/yr in workers’-comp premium (that band’s own average wage, before experience mods and schedule credits). Bar heights show how many of the 636 AZ carpentry contractors fall in each size band.

Cohort: size distribution of 636 AZ carpentry contractors (Census CBP 2023); premiums modeled from one filed rate ($2.90/$100 payroll, 2024). Bands shown cover 629 of 636 establishments (98.9%) — 7 establishments in larger, very small-count, or data-suppressed size bands are not shown. 2023 payroll dollars, not inflation-adjusted. Illustrative benchmark — not a quote or coverage recommendation.

Filed manual rate (AZ)

$2.90 / $100 payroll

as of 2024

Typical <5-employee carpentry shop (64% of AZ)

$1.5k–$5.9k / yr modeled

as of 2024 · CBP 2023

Sources: Oregon DCBS workers' compensation premium rate ranking study, June 2025 (calendar-year 2024 rates) (as of calendar year 2024, retrieved 2026-06-04) · US Census County Business Patterns 2023, state file (Finish carpentry contractors (NAICS 238350)) (as of 2023, retrieved 2026-06-05)

How does Arizona compare to nearby ranks?

Calculated manual rates, $ per $100 payroll, NCCI class 5437 (Carpentry — Cabinet and Trim Work), 2024. See all 51 jurisdictions →

Rank	State	Rate / $100 payroll
42	Nevada	$3.26
43	Tennessee	$3.15
44	Massachusetts	$3.07
45	Texas	$2.93
46	Arizona	$2.90
47	North Dakota	$2.78
48	Arkansas	$2.76
49	Ohio	$2.41
50	Indiana	$2.32

Sources: Oregon DCBS workers' compensation premium rate ranking study, June 2025 (calendar-year 2024 rates) (as of calendar year 2024, retrieved 2026-06-04)

Frequently asked questions

What does workers' comp cost carpentry contractors in Arizona?

Modeled from the 2024 filed manual rate of $2.90 per $100 of payroll: a <5-employee carpentry shop lands around $1.5k–$5.9k per year before experience mods and schedule credits.

What drives the rate up or down?

Three levers: payroll (the exposure base), claims history (the experience modifier), and schedule credits/debits the insurer applies. Finish carpentry work is NCCI class 5437 (Carpentry — Cabinet and Trim Work) — jobsite installation of cabinetry, interior trim, stairs, and millwork; framing and general carpentry (class 5403) and new-dwelling construction are rated separately.

Carpenters in nearby-ranked states: Texas ($2.93) · Massachusetts ($3.07) · Tennessee ($3.15) · Indiana ($2.32)

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Illustrative benchmark — not a quote or coverage recommendation. Figures are modeled from public filings and Census data for 636 Arizona carpentry contractors; your premium depends on your payroll, claims history, and carrier.