Regularly & Frequently

Discussion on applying the "regularly & frequently" rule for executive officers.;

Reference Rule 2.E.1.a.-Exceptions. The term "regularly & frequently" is deliberately left undefined to permit us and carriers to exercise our underwriting judgment in the classification of officers. The intent of this rule acknowledges that there are many varied circumstances under which an officer may be involved with a business which the ICRB cannot classify. Underwriting judgment is the key thought when contemplating the executive officer rule of "regularly & frequently." We do not use a percentage of time or payroll in deciding if activities are regular or frequent.

The executive officer rule allows flexibility (thus judgment) when compared to rules for regular employees because we accept the fact that officers can be involved in all operations of their company and incidental amount of fill-in activities are expected. For instance, an executive officer would not let his/her customer service level drop in the case of an employee being ill or out on vacation. Therefore, it is reasonable to allow for a certain amount of incidental activities by the executive officer to occur without changing the officer's classification assignment.

Also, Rule 2.E.1.a.-Exceptions requires that an officer be treated as any other employee would be for construction purposes. So, instead of assigning the officer to one class based on "principal operations," when an officer is engaged in construction, then we assign the officer to the applicable construction code(s).

As indicated by Rule 2.E.1.a. Payroll of an executive officer who "regularly and frequently" engages in duties that are ordinarily performed by a superintendent, foreman or worker must be assigned to the governing classification. Thus the officer who is principally engaged in clerical operations and also performs duties of a superintendent, foreman or worker on a regular and frequent basis does not qualify for Code 8810. There are occasions when officers may spend a small portion of their time engaged in operations that are not clerical. The classification procedure under these circumstances is that these officers should not be penalized by having their entire payroll assigned to a non-clerical classification and that Code 8810 may be applicable to their remuneration.

Rule 2.E.1.a.-Exceptions uses the phrase "regularly and frequently" to permit a degree of flexibility based on underwriting judgment. This flexibility in classification assignment would be applicable to the officer who does not spend 100% of her time in an office but on the other hand has an "occasional or infrequent" exposure to duties other than clerical. We review the variables of each situation on an individual basis and make classification decisions based upon the individual conditions prevailing in each situation.

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