Each year, the WCIRB reviews certain California industries and as part of its regulatory filing may propose adding or eliminating classifications to keep the Standard Classification System relevant by reflecting current industry practices. In 2016, the WCIRB performed a comprehensive study of the Property Management/Operation Industry Group that contains seven pairs of companion classifications applicable to various types of residential and commercial property operations. During the study, it was determined that classifications specifically applicable to mixed use commercial and residential properties should be added to the Standard Classification System. These properties, which typically consist of retail or office space on the ground floor with residential apartment or condominium units on upper floors, are increasingly common in California.
As a result, effective January 1, 2017, Classification 9011(2), Commercial and Residential Mixed-Use Building Operation – not Homeowners Associations – all other employees, and its companion Classification 8740(7), Commercial and Residential Mixed-Use Building Operation – not Homeowners Associations – property management supervisors, apply to the management and operation of commercial and residential mixed use properties. View the complete classification phraseology and footnotes for both of these classifications using the Classification Search tool on WCIRB.com or click on the links below:
Classification 9011(2) applies to employees engaged in the operation, maintenance and care of properties, and to property managers engaged in the direct supervision of such employees and all residing employees. Classification 8740(7) applies to on or off site non-residing property management supervisors who exercise direction through maintenance or operations supervisors who directly supervise employees engaged in the operation maintenance and care of properties. Classification 8740(7) also applies to non-residing property management supervisors who oversee such commercial and residential mixed-use buildings at which all operation, maintenance and care activities are conducted by separate concerns and no payroll is assignable to 9011(2).
In some cases, the residential and commercial portions of a mixed-use property are managed by separate concerns. Classification 9011(2) contains footnotes that provide direction when this is the case:
The WCIRB has completed updating the Classification Search tool on WCIRB.com to include classification phraseology changes and pure premium rate information approved by the Insurance Commissioner effective January 1, 2017. Search for current classifications by keyword or classification code here>