Workers Comp Insurance for Barbershops in North Carolina: Requirements and Average Costs

North Carolina requires employers with 3 or more employees to carry workers comp insurance. North Carolina barbershops with 3 or more employees must carry workers comp coverage. Workers comp in North Carolina is regulated by the NC Industrial Commission. North Carolina workers comp costs are below the national average, consistent with the state's generally moderate business insurance environment.

Quick Answer

Estimated workers comp premiums for North Carolina barbershops:

Barbershop Type	Estimated Annual Workers Comp Premium
Small barbershop (1 to 2 employees)	Not required (below threshold)
Barbershop at 3-employee threshold	$800 to $1,950 per year
Mid-size barbershop (4 to 8 employees)	$1,800 to $4,500 per year

North Carolina barbershop workers comp premiums are below the national average.

What Workers Comp Covers for North Carolina Barbershops

Medical Benefits

Covers medical treatment, hospitalization, and rehabilitation costs for employees injured on the job.

Lost Wage Benefits

Covers a portion of wages for employees unable to work due to a work-related injury or illness.

Permanent Disability Benefits

Covers employees with permanent partial or total disability resulting from a work-related injury.

Death Benefits

Covers funeral expenses and survivor benefits if a work-related injury results in death.

North Carolina-Specific Considerations

North Carolina 3-Employee Threshold

North Carolina requires workers comp when a business reaches 3 or more employees. Barbershops with 1 to 2 employees are not required to carry workers comp, though it is recommended.

NC Industrial Commission

Workers comp in North Carolina is regulated by the NC Industrial Commission. Disputes are adjudicated by NC Industrial Commission Deputy Commissioners.

NCRB Rate-Setting

North Carolina uses the North Carolina Rate Bureau (NCRB) for workers comp rate-setting. The NCRB files rates with the NC Department of Insurance.

NCCI Class Code 9586

North Carolina barbershops are classified under NCCI class code 9586 (Barber or Beauty Parlor). All non-exempt barber and staff payroll is rated under this code.

Booth Rental Barbers

North Carolina barbers renting booth space as independent contractors are generally not covered under the shop owner's workers comp policy. Confirm worker classification status with your carrier.

Frequently Asked Questions

Does North Carolina require workers comp for barbershops?

North Carolina requires workers comp when a barbershop reaches 3 or more employees.

What class code applies to North Carolina barbershop workers comp?

Class code 9586 (Barber or Beauty Parlor) is the standard NCCI code for barbershop employees in North Carolina.

Does workers comp cover booth rental barbers in North Carolina?

Not automatically. Independent contractor booth renters are generally not covered under the shop owner's workers comp policy.

How much does workers comp cost for North Carolina barbershops?

North Carolina barbershops at the 3-employee threshold typically pay $800 to $1,950 per year, depending on payroll, claims history, and carrier.

What is the penalty for not carrying workers comp in North Carolina?

The NC Industrial Commission can penalize employers who fail to carry required workers comp coverage. Civil penalties and potential criminal charges apply.

Disclaimer

This article is for informational purposes only and does not constitute insurance or legal advice. Coverage details and costs vary by carrier and individual circumstances. Consult a licensed insurance agent for guidance specific to your situation.

Sources

• North Carolina Industrial Commission
• North Carolina Rate Bureau
• Insurance Information Institute
• Professional Beauty Association