Workers’ comp insurance cost for carpenters in Michigan

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

Modeled from the 2024 filed manual rate of $5.13 per $100 of payroll: a <5-employee carpentry shop lands around $2.7k–$11k 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: Michigan carpentry contractors pay a filed workers’-comp manual rate of $5.13 per $100 of payroll (2024 filed rate) — the 21st-highest of 51 US jurisdictions. Modeled on real payrolls, most <5-employee carpentry contractors land around $2.7k–$11k/yr, before experience mods and schedule credits.

72% of MI carpentry contractors have <5 employees — the chart below prices every size band from its own observed payroll.
Michigan sits 21st of 51: VT pays more ($6.00), WA less ($4.75).
Workers’ comp is one of several coverages — see everything your carpentry shop needs in Michigan →

What do Michigan carpentry contractors pay for workers’ comp?

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

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

typical · most MI carpentry contractors

▼

<5 emp

≈$4.1k/yr

5–9 emp

≈$18k/yr

10–19 emp

≈$44k/yr

20–49 emp

≈$95k/yr

SMALLER

MID-SIZE

LARGER

A <5-employee MI carpentry shop: modeled $2.7k–$11k/yr in workers’-comp premium (that band’s own average wage, before experience mods and schedule credits). Bar heights show how many of the 764 MI carpentry contractors fall in each size band.

Cohort: size distribution of 764 MI carpentry contractors (Census CBP 2023); premiums modeled from one filed rate ($5.13/$100 payroll, 2024). Bands shown cover 754 of 764 establishments (98.7%) — 10 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 (MI)

$5.13 / $100 payroll

as of 2024

Typical <5-employee carpentry shop (72% of MI)

$2.7k–$11k / 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 Michigan 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
17	Oklahoma	$5.57
18	California	$5.42
19	Missouri	$5.37
20	Alaska	$5.21
21	Michigan	$5.13
22	South Dakota	$5.01
23	Colorado	$4.94
24	Mississippi	$4.84
25	Alabama	$4.79

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 Michigan?

Modeled from the 2024 filed manual rate of $5.13 per $100 of payroll: a <5-employee carpentry shop lands around $2.7k–$11k 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: Colorado ($4.94) · Missouri ($5.37) · California ($5.42) · Oklahoma ($5.57)

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Illustrative benchmark — not a quote or coverage recommendation. Figures are modeled from public filings and Census data for 764 Michigan carpentry contractors; your premium depends on your payroll, claims history, and carrier.