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New Dual-Wage Threshold Workers’ Comp Changes Ahead


New Dual-Wage Workers’ Comp Changes Ahead

The Workers’ Compensation Insurance Rating Bureau of California will recommend dual-wage threshold changes to several construction classifications for the 2020 workers’ compensation policy year.

The Bureau made the recommendations to the Department of Insurance during its annual rate filing in June. The recommendations for changes to these dual-wage classifications would have to be approved by the state insurance commissioner.

While most workers’ comp classes have one rate, in some classes the difference in claims costs between high- and lower-wage workers is so great that a dual-wage classification is needed. In those cases, the workers above the threshold rate are assigned one rate, while those below that threshold are assigned a higher rate.

This is usually because the higher-wage workers are usually more experienced and tend to suffer fewer workplace injuries compared to those below the threshold.

There are 18 dual-wage classes, but not all of them are in line for changes.

Dual-Wage Threshold Classes Facing Changes

Class                                               Current Proposed
Masonry (5027/28) $27 $28
Electrical wiring (5190/5140) $32 $32
Plumbing (5183/5187) $26 $28
Automatic sprinkler installation (5185/5187) $27 $29
Concrete cement work (5201/5205) $25 $28
Carpentry (5403/5432) $32 $35
Wallboard application (5446/5447) $34 $36
Glaziers (5467/5470) $32 $33
Painting/waterproofing (5474/5482) $26 $28
Plaster or stucco work (5484/5485) $29 $32
Sheet metal work (5538/5542) $27 $27
Roofing (5552/5553) $25 $27
Steel framing (5632/5633) $32 $35
Excavation/grading/land Leveling (6218/6220) $31 $34
Sewer construction (6307/6308) $31 $34
Water/gas mains (6315/6316) $31 $34