What is NCCI class code 0106?

NCCI (National Council on Compensation Insurance) class code 0106 is the standard workers' compensation classification assigned to tree pruning, trimming, removal, and related driving operations. NCCI develops and maintains the classification system used in most states to categorize businesses by their type of work and associated risk level for workers' compensation purposes.

Class code 0106 specifically covers employees engaged in tree pruning, trimming, cutting, removal, and stump removal, as well as the drivers who transport crews and equipment to job sites. The code reflects the combined hazard of the physical tree work and the driving exposure. It is one of the highest-rated class codes in the NCCI system, with base rates typically ranging from $15 to $40 or more per $100 of payroll depending on the state.

The high rate reflects the documented injury frequency and severity in tree care operations. Common injuries include falls from trees, aerial lifts, and ladders; chainsaw lacerations and amputations; struck-by injuries from falling trees, limbs, and rigging equipment; electrocution from power line contact; crushing injuries from equipment; and musculoskeletal injuries from repetitive lifting. The average workers' comp claim in tree care is significantly more expensive than the all-industry average due to the severity of these injuries.

It is important to understand that not all employees at a tree service company should be classified under 0106. Office staff, estimators who do not perform field work, and sales personnel are typically classified under separate, lower-rated codes such as 8810 (Clerical) or 8742 (Sales). Properly separating payroll by classification can significantly reduce your total workers' comp premium. However, the separation must be legitimate — an estimator who occasionally helps on job sites would need to be classified under 0106 for all of their payroll.

Some states do not use NCCI and have their own classification systems. California, New York, New Jersey, and several other states maintain independent workers' comp bureaus with their own class codes. In California, for example, tree work falls under classification 0106 as well, but the rates and rules are set by the Workers' Compensation Insurance Rating Bureau (WCIRB) rather than NCCI. Regardless of the system, tree work consistently carries among the highest workers' comp rates of any occupation. Your broker should verify that your payroll is properly allocated across all applicable class codes to ensure you are not overpaying.