Workers Compensation Insurance for Illinois Roofers: Explained in 2026

Workers compensation insurance for roofing contractors in Illinois costs about $30 per $100 of payroll, the highest base rate of any trade in the state. Illinois ranks 5th nationally for roofing workers comp expense, with a $100,000 payroll roofing business paying around $35,940 per year for coverage.

This guide breaks down why Illinois workers comp insurance hits roofing contractors so hard and what factors drive the premium. You will finish knowing how the rate is calculated, what claims actually cost, and where roofing companies in Illinois can find real savings.

• The current Illinois workers compensation rate for roofing class code 5551 is $30.00 per $100 of payroll (NCCI 2026 filing).
• Roofing has 134 workplace fatalities in 2023, with 82% caused by falls (Bureau of Labor Statistics, 2025).
• Illinois roofers pay up to $915 per month per employee for workers comp insurance.
• Class code 5551 carries a fatality rate of 51.8 per 100,000 workers, compared to 3.5 across all industries.
• The Illinois Workers Compensation Commission requires coverage for nearly every employer with one or more employees.
• Penalties for no workers comp insurance in Illinois reach $500 per day plus possible criminal charges.
• NCCI recommended a 0.1% rate cut for Illinois in 2025, the 13th consecutive year of suggested reductions.
• A clean experience modifier and proper class code splits can cut premiums by 25% or more.

What Is Workers Compensation Insurance for Roofers in Illinois?

Workers compensation insurance is a no fault insurance policy that pays medical bills and lost wages when an employee gets hurt on the job. In brief, workers compensation insurance:

• Covers medical treatment, rehabilitation costs, and a portion of lost wages for an injured roofer.
• Illinois requires coverage for every employer with one or more employees, full time or part time.
• Roofing contractors purchase a workers compensation insurance policy through a licensed insurance company or apply to self insure.
• Sole proprietors with no employees and some corporate officers may qualify for exemptions under Illinois law.
• The employer pays the full premium, and no part of the cost may be charged back to the employee.

In Illinois, the law requires nearly every roofing contractor with at least one employee to carry a valid workers comp insurance policy. The Illinois Workers Compensation Commission, known as the IWCC, oversees claims and enforces the rules.

How Much Does Workers Comp Cost for a Roofing Contractor in Illinois?

The current Illinois base manual rate for roofing class code 5551 is $30.00 per $100 of payroll, according to 2026 NCCI filings. A roofing business with $100,000 in annual payroll pays roughly $35,940 per year before any credits or experience modifier adjustments.

That places Illinois 5th most expensive nationally for roofing workers comp coverage. For comparison, Indiana sits at about $5,890 and Texas at $7,410 for the same $100,000 payroll.

Illinois roofers face one of the toughest pricing environments in the country. MoneyGeek reports that Illinois roofers pay up to $915 per month per employee for workers comp insurance.

Small roofing businesses in Illinois often pay $400 to $3,000 per year for workers comp depending on payroll and crew size. Larger roofing companies in Illinois with $200,000 payroll commonly pay $48,000 to $80,000 per year for coverage.

Why Workers Comp Insurance Is So Expensive

Roofing carries some of the highest injury rates in any trade, and Illinois layers a heavy benefit structure on top of that risk. The combination produces some of the steepest workers comp premiums in the country.

Three forces drive most of the cost:

• The first is raw injury data.
• The second is the Illinois benefit formula, which pays 66 and two thirds percent of average weekly wages for disability.
• The third is the legal climate around injury claims in Cook County and surrounding areas, which insurers price into their rates.

The Illinois minimum wage rose to $15.00 per hour on January 1, 2025, pushing average weekly wage figures and benefit payouts higher. This means insurers have to pay higher amounts in case of injuries, which translates to higher premiums.

NCCI Class Code 5551 For Roofers

Roofing contractors in Illinois fall under code 5551 for almost all field work, including residential and commercial jobs. The code covers installation and repair on flat, sloped, and built up roofs.

This class code is one of the most expensive in the entire workers comp system. Insurance companies use 5551 to set the base rate, then adjust the premium with the experience modification rate and any policy credits or debits. A misclassified payroll sheet can add tens of thousands of dollars to a roofing business's annual cost.

• Office staff in a roofing company should be coded under 8810 (clerical) at a fraction of the 5551 rate.
• Outside sales people who never set foot on a roof can fall under code 8742, which carries a far lower rate.
• Yard and warehouse workers often fit code 8227 (construction yard).
• Misclassifying a sales rep or estimator under 5551 can cost a roofing business $5,000 to $10,000 a year in extra premium.
• A classification audit by an insurance agent who specializes in roofing insurance can find these errors and recover money.

Roofing Injuries That Drive Up Workers Comp Premiums

Roofing injuries dominate construction fatality data, and that real world risk is what insurers price into every premium. The Bureau of Labor Statistics counted 134 roofing fatalities in 2023, and 82% of those deaths came from falls.

The sheer physical toil and risk of injury makes roofing a hard career. Roofers represent 26% of all fall related fatalities in construction nationwide. Apart from this, there are countless other risks, like:

• Heat exhaustion and heat stroke spike during Illinois summer months when rooftop temperatures top 140 degrees.
• Nail guns cause an estimated 37,000 emergency room visits each year in the United States, many among roofers.
• Repetitive lifting of shingle bundles weighing 60 to 80 pounds drives many shoulder, back, and knee claims.
• Defective tools and equipment can also generate compensable injury claims under Illinois law.

These risks drive up demand and premiums for worker compensation insurance.

What Workers Comp Coverage Includes for Injured Roofers in Illinois

An Illinois workers compensation insurance policy covers 100% of necessary medical treatment for any work related injury. The injured roofer pays nothing out of pocket, and the insurance company pays the medical provider directly.

The comprehensive list includes:

• Medical coverage includes hospital bills, surgery, physical therapy, prescription drugs, and travel to appointments.
• Lost wage replacement pays two thirds of the average weekly wage during the recovery period.
• Vocational rehabilitation covers retraining costs when an injured roofer cannot return to the same job duties.
• Death benefits go to surviving spouses and dependents when a workplace injury is fatal.
• Property damage claims, such as a fall through a homeowner's roof, fall under general liability rather than workers comp.

The policy also replaces a large portion of lost wages while the worker recovers. Illinois workers comp benefits go further than many states. The system pays for vocational rehabilitation if the injured roofer cannot return to roofing work.

Illinois Workers Comp Benefits: TTD, TPD, PPD, and PTD Explained

Illinois recognizes four main types of disability benefits under the Workers Compensation Act. Each one applies to a different stage of recovery. These are:

• Temporary total disability (TTD): Pays 66 and two thirds of the average weekly wage when the roofer cannot work at all.
• Temporary partial disability (TPD): Pays two thirds of the difference between pre injury wages and current reduced wages.
• Permanent partial disability (PPD): Pays a settlement based on the body part injured and the percentage of loss of use.
• Permanent total disability (PTD): Pays lifetime weekly benefits at 66 and two thirds of the average weekly wage.

An injured roofer in Illinois who cannot work at all collects temporary total disability, or TTD. A roofer who returns to light duty at lower wages collects temporary partial disability, or TPD.

Permanent benefits apply once the worker reaches maximum medical improvement. Other benefits include:

• Wage differential awards under section 8(d)1 cover roofers who can never earn the same income as before.
• Cost of living adjustments apply to PTD benefits awarded after a Commission arbitration decision.

The Illinois Workers Compensation Commission updates the rate maximums every January and July.

Lower Your Roofing Workers Comp Insurance Premium

Roofing contractors in Illinois have real ways to bring premiums down, even with a high base rate. The biggest savings come from:

• Clean experience modification rate.
• Accurate class code assignments.

Both take time and attention to manage. The experience modifier compares your three year claims history to similar roofing businesses. A new roofing business starts at 1.0, and after three years the real number takes over.

A 0.85 mod on $200,000 of roofing payroll can save $9,000 a year. Here are some things you should do to manage the premiums:

• Run a written safety program with documented training on fall protection, ladder safety, and heat illness prevention.
• Use drones and ground based estimating tools to keep estimators off the roof and qualify them for class code 8742.
• Audit every payroll period to verify each employee sits in the correct NCCI class code.
• Report and close minor claims fast because claim frequency hurts your experience mod more than claim severity.
• Shop your workers comp insurance policy across multiple carriers every year, since rates can swing 25% between insurance providers.
• Bundle workers comp with general liability through a Business Owner's Policy when the insurance provider offers credits.
• Join an Illinois roofing trade association that offers group rate workers comp coverage to members.

What Happens If a Roofing Contractor in Illinois Has No Workers Comp Insurance

Illinois treats failure to carry workers comp insurance as a serious offense. A roofing contractor caught without coverage faces fines of up to $500 per day for every day without insurance. Willful violations can rise to felony charges under Illinois law.

The Illinois Workers Compensation Commission can also issue a stop work order that shuts the roofing business down on the spot. Other risks include:

• Personal injury lawsuits against an uninsured roofing contractor can pierce the corporate shield and reach personal assets.
• The Injured Workers Benefit Fund covers the worker, then bills the uninsured employer plus interest.
• Insurance companies to deny coverage in the future after a lapse, leaving the contractor stuck in the high cost assigned risk pool.

Workers compensation is a core insurance item for all roofing contractors. It is even more crucial for contractors and entrepreneurs starting a roofing business in Illinois.

FAQs About Workers Comp for Illinois Roofers

How much does workers comp insurance cost for a roofing contractor in Illinois?

Illinois roofing contractors pay about $30 per $100 of payroll for workers comp under class code 5551. A small roofing business with $100,000 in payroll spends roughly $35,940 per year. Actual cost depends on the experience mod, claims history, and the insurance company.

Are roofers in Illinois required to have workers comp insurance?

Yes, Illinois law requires almost every roofing business with one or more employees to carry workers comp insurance. The Illinois Workers Compensation Act covers full time, part time, and most 1099 workers. Sole proprietors with no employees may qualify for an exemption.

Do 1099 roofers need workers comp coverage in Illinois?

Most 1099 roofers in Illinois are treated as employees for workers comp purposes if the contractor controls how the job is done. Illinois courts look at job control, not the tax form. A roofing contractor who hires 1099 helpers should still pay premium on those wages.

What benefits does an injured roofer get in Illinois?

An injured roofer in Illinois collects 100% medical coverage, two thirds of average weekly wages during recovery, and a permanent disability settlement at the end of treatment. Vocational rehabilitation and wage differential awards apply when the worker cannot return to the same job.

How long does a roofer have to file a workers comp claim in Illinois?

An injured roofer must report the injury to the employer within 45 days of the accident. The formal Application for Adjustment of Claim must be filed with the Illinois Workers Compensation Commission within three years of the injury or two years from the last benefit payment, whichever is later. Missing these deadlines can end the claim.

How can a roofing business in Illinois lower its workers comp premium?

The fastest way to lower a roofing workers comp premium in Illinois is to drop the experience modification rate below 1.0. A documented safety program, accurate class code splits, and fewer small claims all push the mod down.

Can a fired roofer still collect Illinois workers comp benefits?

Yes, a roofer fired by an Illinois employer keeps every right under the Illinois workers compensation system. Termination does not end TTD, TPD, PPD, or PTD benefits. Retaliating against a worker for filing a claim is illegal under Illinois law and can produce extra damages.

Is Illinois workers comp no fault for roofing injuries?

Illinois workers comp is a no fault system, which means an injured roofer does not have to prove the employer did anything wrong. The injury only needs to occur in the course of employment. Intoxication and self inflicted injuries are the main exceptions.

Bottom Line On Workers Comp for Illinois Roofers

Workers comp insurance for roofing contractors in Illinois is expensive because the work is dangerous and the legal environment favors injured workers. The base rate of $30 per $100 of payroll under class code 5551 puts Illinois near the top of the national cost rankings.

The best way to cut that bill is with a clean experience modifier, accurate class codes, and a real safety program. Compare quotes from at least three insurance providers each year, audit your class codes, and document every safety meeting on the job site. Still confused? We'll explain it in class!