Class Code 3018 covers steel making and primary steel processing operations in California, from melting and refining to casting and rolling. The September 1, 2026 approved pure premium rate for this class is $2.323 per $100 of payroll — reflecting the heavy industrial hazards common in steel mills.
This classification applies to facilities that produce or process steel at the primary-mill level: blast furnace, basic oxygen furnace, electric arc furnace operations, continuous or ingot casting, slab/coil rolling mills, annealing and heat-treating lines, pickling and surface-treatment lines, and related material handling of hot metal and heavy steel products. Activities covered include melting scrap or raw iron, furnace tapping and ladle handling, desulfurizing and deoxidizing, continuous casting, hot and cold rolling, slitting, pickling, and coil/plate finishing. It also covers on-site maintenance of heavy mill equipment, refractory repair, and crane or caster operation directly associated with steel production. Ancillary shop work located inside the mill (mechanical maintenance, electrical repairs, boilerhouse operations) typically falls under this code when integrated with primary steel-making operations.
The approved pure premium rate of $2.323 per $100 of payroll is the portion of premium allocated to expected claim costs for this class before expense loads and adjustments. Employers multiply their payroll in this classification by $2.323/100 to determine the pure premium base; the final premium is then adjusted for experience modification, insurer expense loads, policy-specific deductibles or retrospective rating, and any classification splits or audit results.
Steel mills must comply with Cal/OSHA requirements that directly address the industry hazards: written heat illness prevention and controls for high-temperature operations, permit-required confined space procedures for pits and ladles, control of hazardous energy (lockout/tagout) for mill machinery, machine guarding for rolling equipment, and respiratory protection where metal fume or acid-mist exposures exceed permissible limits. Employers should also maintain hearing conservation programs at or above 85 dBA TWA and keep written training, medical evaluation and fit-testing for respirator users.
A PEO like Key HR can help employers in this class lower workers' comp costs through accurate payroll classification, targeted loss-control programs (heat-stress, molten metal handling, crane safety), centralized claims management and prompt return-to-work coordination to limit indemnity exposure. Key HR also provides compliance support for Cal/OSHA programs, access to group safety training and preferred carriers, and analytics to reduce frequency and severity of mill claims.
Get a Quote3018 is specific to primary steel-making and integrated mill processing. Small metal fabrication shops that cut or weld steel but do not perform primary melting or casting are usually assigned fabrication class codes. Foundries that pour nonferrous metals or castings may fall under separate foundry or casting classifications. Classification depends on the facility's primary operations and equipment.
Implement engineering controls (guarding, heat shields, automated handling), enforce hot-work and molten-metal procedures, provide mandatory PPE (heat-resistant clothing, face shields), institute structured heat-acclimatization and hydration plans, maintain preventive maintenance on cranes/rigging, and run pre-shift safety briefings and toolbox talks focused on mill-specific hazards.
Conduct exposure assessments: noise monitoring is required when there is potential for exposures at or above 85 dBA TWA to trigger a hearing conservation program. Respiratory protection is required when airborne contaminants (metal fumes, acid mists, respiratory irritants) exceed permissible exposure limits; a written respiratory protection program with medical evaluations and fit testing must be in place.
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