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The Hierarchy of Rules within the Standard Classification System

March 21, 2018

The Insurance Commissioner's regulations pertaining to workers' compensation classification assignments are contained in Part 3, Standard Classification System, of the California Workers' Compensation Uniform Statistical Reporting Plan–1995 (USRP). In this edition, we break down the key sections in Part 3 and focus on how the regulations work together to establish classification assignments.

Sections I, II, and III

Section I, Introduction, states the objective of the classification system, and Section II, Classification Terminology, defines key terms and phrases related to classification. Section III, General Classification Procedures, contains the fundamental rules that create the basic structure of the Standard Classification System. The rules contained in Section III are the general procedures and are broadly applicable to classification determinations.

Section IV

Section IV, Special Industry Classification Procedures, contains rules that apply to the following specific industries: Aircraft Operation; Construction or Erection Work; Electronic Products Design and Manufacturing; Farms; Mining; Stores; Wrecking or Demolition and Building Raising or Moving; Labor Contractors; and Property Management/Operation. The special procedures contained in Section IV are each applicable only to the specified industry. For example, the special procedures for Construction or Erection Work apply only in connection with the construction and erection classifications listed in Appendix I, Construction and Erection Classifications. Further, the special procedures in Section IV apply in lieu of the more general procedures in Section III for the specified industries.

Section VII

Section VII, Standard Classifications, contains an alphabetical listing of classifications that describe most occupations, employments, industries and businesses. The scope of each classification is defined by its phraseology and many classifications include footnotes. Beginning in 2013, the WCIRB conducted a multi-year project to comprehensively review and propose enhancements to the classification descriptions contained in Section VII. The classification phraseology and its corresponding classification code are in boldface type. Footnotes are in regular type and are located below the classification phraseology. Footnotes describe the scope of the classification or identify activities that are assignable to a different classification. The classification phraseology and footnote for each classification provide the most specific information regarding how each class is administered and, to the extent that they differ from the general procedures, apply in lieu of the more general procedures in Sections III and IV.

More Classification Resources

California Workers' Compensation Uniform Statistical Reporting Plan—1995
Construction and Erection Classifications by Code Number
Classification Search
Learning Center: Classification

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