Nonprofit & Church class codes

Religious and charitable organizations typically split across two codes:

• Code 8868 — Church/School: Professional Employees & Clerical: clergy, teachers, program staff, and office employees
• Code 9101 — Church/School: All Other Employees: custodians, kitchen staff, groundskeepers, and maintenance workers
• Thrift stores: retail operations may rate under code 8017
• Volunteers: some states allow or require volunteer coverage; others exclude it — we confirm your state’s treatment

Getting the class code right matters more in this industry than almost anything else on the policy. Misclassification is one of the most common reasons nonprofits and churches overpay — and one of the first things we check when we review an existing policy. Browse our class code guides for a deeper look at how rates attach to codes.

What drives workers’ comp claims for nonprofits and churches

Claims cluster in the buildings-and-events side of ministry work:

• Slips, trips, and falls — sanctuaries, stairs, parking lots, and event setup
• Lifting injuries — chairs and tables, food-bank stock, and donation handling
• Custodial and grounds claims — the 9101 side of the payroll carries most of the physical exposure
• Kitchen incidents — community meals and fellowship events
• Vehicle claims — staff driving vans and buses for programs

How much does workers’ comp cost for nonprofits and churches?

Professional and clerical ministry staff under 8868 often rate under $1 per $100 of payroll, while custodial and maintenance staff under 9101 rate several times higher — so the blended cost depends heavily on your payroll mix and the accuracy of the split. A church with $250,000 of mostly-professional payroll frequently pays under $3,000 a year.

Because we quote nonprofits and churches across a dozen A-rated carriers — including specialists who actively want this class of business — the spread between the best and worst quote on the same account is often 20–40%. That spread is why comparison shopping matters more than any single discount.

Ways to lower your premium

• Pay-as-you-go billing — premium calculated from actual payroll each pay period, which fits the seasonal staffing patterns common in this industry
• Accurate class codes and payroll splits — clerical staff belongs in code 8810, not your governing class
• A documented safety program — carriers credit written procedures, training records, and a clean loss history
• Experience mod management — reporting claims promptly and closing them fast protects your mod at renewal
• Ask about nonprofit dividend programs — several carriers return premium to qualifying organizations with clean loss experience

Nonprofit & Church workers’ comp FAQs

Do churches have to carry workers’ comp?

In nearly every state, yes — paid employees, including clergy, trigger the same requirements as any employer. A church with a pastor, office administrator, and part-time custodian generally needs coverage for all three.

Are volunteers covered by workers’ comp?

It varies by state: some allow organizations to elect volunteer coverage, some exclude volunteers entirely, and a few require coverage in specific cases. We confirm your state’s rules and structure the policy accordingly.

What class codes apply to a church?

Clergy, teachers, and office staff typically rate under code 8868 at a low rate, while custodians, kitchen, and grounds staff fall under 9101 at a higher one. Getting the payroll split right is the main premium lever.

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