Why it matters for your company
Workers' compensation rates by classification of payroll, and general liability rates by a classification of the business. Neither system has a class written for autonomous machines, so a robotics company gets described as something close: a machinery manufacturer, a software firm, an equipment rental outfit.
The closest class is still a description of your business on the record. If it reads as software while your machines work on customer floors, the gap between the class and the operation can become the argument at claim time. Getting it right is part of presenting the company properly.
Related terms
- Workers' compensationThe state-mandated policy that pays medical costs and lost wages for employees injured on the job, in exchange for limiting their right to sue. Most states require it once you have employees.
- DeclinationAn insurer's refusal to quote or renew a risk. It records one insurer's appetite on one submission, and other insurers can see the same company differently.
- General liabilityThe policy that responds when your business operations or products injure someone outside the company or damage property you do not own. It is the first line most contracts and leases require.