If you’re working with staffing agencies or other high-risk clients, you’ve likely run into a persistent challenge: high experience modifiers. These “e-mods” drive premiums up, limit market access, and can lock clients out of affordable Workers’ Comp coverage.

Understanding how high experience modifiers work — and how to help clients improve them — can transform your role from policy seller to strategic advisor. Here’s how to do it.

What Is an Experience Mod (E-Mod)?

An experience modifier is a numeric factor used by insurers to adjust Workers’ Comp premiums based on a business’s actual loss history compared to others in its industry. In short: higher risk, higher mod, higher cost.

• A 1.0 e-mod is considered average
• Anything below 1.0 reflects better-than-average performance
• Anything above 1.0 signals more frequent or severe claims

Because mods are directly tied to claims, even a single incident can push a client above the acceptable threshold for standard market coverage — especially in high-risk sectors.

Why Certain Clients Are More Likely To Have High Mods

Some industries are more likely to develop high experience modifiers due to the nature of their labor, injury rates, and claims frequency. These risk factors can surface across a wide range of sectors:

• Contracting and construction trades (roofing, framing, drywall) involve physically demanding work with high injury potential.
• Healthcare and social assistance (home health, behavioral care, substance abuse treatment) often face claims tied to patient handling and fatigue.
• Transportation and logistics (moving services, trucking, delivery) bring exposure to auto-related injuries and claims.
• Hospitality and food services (e.g., restaurants, catering, food trucks) deal with cuts, burns, slips, and other repetitive injuries.
• Manufacturing and light industrial (e.g., food products, plastics, metal work) involve repetitive motion, heavy machinery, and material handling.
• Recycling and waste services (e.g., junk removal, scrap yards, sanitation) combine physical risk with environmental exposure.
• Janitorial, cleaning, and property maintenance often include slips, falls, and chemical handling hazards.

Clients in these sectors commonly experience claims that push e-mods higher — sometimes locking them out of standard markets altogether. Retail agents often need to turn to wholesale Workers’ Comp partners who specialize in high-risk Workers’ Comp insurance to find solutions that restore eligibility and control premiums.

How Agents Can Help Clients Lower Their E-Mod

Reducing a high experience modifier isn’t an overnight fix, but agents can play a huge role in guiding clients toward improvement. Here are some strategies.

Improve Injury Reporting and Return-to-Work Programs

• Encourage clients to report injuries immediately, with full documentation.
• Help them implement return-to-work programs to reduce claim costs.

Fast reporting shortens claim resolution time, which reduces reserve estimates — a critical factor in mod calculation.

Address Claims History Before Renewal

Many agents wait until renewal season to analyze loss runs. Smart agents do it mid-term.

• Conduct a claims review with the client.
• Identify patterns, outliers, or open claims that can be closed or re-evaluated.
• Use this resource to show clients how to clean up their history before it impacts them again.

Educate Clients on Safety and Classification

• Verify that all employees are properly classified under the right NCCI codes.
• Help clients implement simple safety programs and ongoing training.
• Leverage your wholesale partners for loss control support, training materials, or program referrals.

What To Do If Your Client Already Has a High Mod

For clients with entrenched high experience modifiers, traditional options are often exhausted, making wholesale markets indispensable.

• Explore alternative rating methods used by wholesale carriers.
• Look into high-risk Workers’ Comp insurance programs that evaluate full client profiles, not just the e-mod
• Understand that standard markets may no longer apply.

Clients with high mods need a multi-year plan. It’s not just about getting coverage this year — it’s about building a strategy that lowers their modifier over time. Agents who help reduce premiums build loyalty, win renewals, and grow stronger books of business.

Send a submission today to connect with wholesale Workers’ Comp markets that understand high experience modifiers and high-risk Workers’ Comp insurance.

FAQ About High Experience Modifiers

What is a good Workers’ Comp mod rate?

A good mod rate is typically 1.0 or lower, indicating a business has fewer claims than average for its industry.

What is a bad mod rating?

Generally, anything above 1.0 is considered a higher risk — especially if it trends upward year over year. Clients with mods of 1.25 and above will likely face challenges in standard markets.

How long does it take to improve a high experience modifier?

It usually takes two to three years of consistent improvement and claim reduction to bring a high mod down, as mods are calculated on a rolling three-year window.

Can a client dispute a mod rating?

Yes. Clients can request a mod audit or appeal if they believe claims were misreported or misclassified. Partnering with a knowledgeable agent can help ensure accuracy before the mod is finalized.

About Worksperity

Worksperity is a specialized wholesale brokerage focused exclusively on Workers’ Compensation. We partner directly with retail agents to simplify placements for hard-to-place industries and clients with coverage barriers. Our deep expertise, rapid quote capabilities, and access to 90+ niche markets empower agents to win more business, faster. Learn more at worksperity.com.