Class Code: 5606

Per NCCI's Scopes Code Description:

Code 5606 is intended to cover the project manager, construction executive, construction manager, or construction superintendent of both specialty and general contracting risks. The project manager, etc., will spend some time in the office and the remainder of time visiting various job sites conferring with the job superintendent or foreperson to keep track of the progress of the work being conducted at each job or project. The qualifications established for the use of Code 5606 are that the project manager, etc., of a construction or erection concern must be exercising supervision through superintendents or forepeople of the employer and cannot have direct charge over the workers at the construction or erection site. The project manager may also exercise supervision through subcontractors, superintendents, or forepeople, but each subcontractor must have an on-site superintendent or foreperson at each and every job site. The important element is determining their job duties and not their title as well as that the supervision must be indirect rather than direct.

When terms such as “all employees,” “all other employees,” “all operations,” and “all operations to completion” appear in the phraseology of a construction or erection operation applicable to an insured, Code 5606 may also be assigned to those employees who are otherwise qualified to be assigned to Code 5606.

Equipment and Materials:

   
•    Vehicles to drive from site to site

Special Conditions:

Extra-Territorial Classification Guidelines (Florida—refer to Florida Basic Manual Rule 2-L—Extraterritorial Rating Procedure) (New Hampshire—refer to New Hampshire Basic Manual Miscellaneous Rules Extraterritorial Auditing Procedure):

The following material was developed by NCCI to be used as a guide by auditors and underwriters in the determination of premium for contracting (construction or erection risks) with extra-territorial employments where no company guidelines have been established for this purpose. Construction or erection classifications are indicated by the addition of a construction code symbol ( • ) next to the classification code number.

   
1.    Payroll of employees of contractors who have their place of business in a given state and operate also in adjoining states and who are constantly crossing state lines, but usually return to their homes each night, should be assigned to their headquarters’ state. Example: Contractors such as electricians, plumbers, carpet layers, etc.
2.    The payroll for executive supervisors who may visit a job but who are not in direct charge of a job should be assigned to the state in which their headquarters are located.
3.    There are contractors who maintain a permanent staff of employees and superintendents. If any of these employees or superintendents are assigned to a job that is located in a state other than their headquarters’ state, either for the duration of the job or any portion thereof, their payroll should be assigned to the highest rated of either the state in which the job is located or the headquarters’ state.
4.    The payroll of employees who are hired for a specific job project should be assigned to the state in which the job is located.

When a portion of the operations of a risk are insured in a monopolistic state fund, consideration must be given to the special rules and requirements that may exist in such cases.

Rate per $100. of Renumeration: $ 0.83

Construction Exemption Required: Yes