Class Code 8028
Equipment Or Machinery Rental Yards
Class Code 8028 applies to equipment or machinery rental yards — businesses that store, inspect, prepare and rent heavy or light equipment to customers. The approved pure premium rate for California effective September 1, 2026 is $4.375 per $100 of payroll. Understanding this classification helps employers manage payroll coding, safety, and workers' comp exposure.
What Class Code 8028 Covers
This classification covers yards and lots where equipment or machinery is stored, maintained at a basic level, prepared for rental, and dispatched to customers. Typical operations include inspecting machines before rental, refueling and topping off fluids, basic preventive maintenance (filters, greasing, battery checks), cleaning and staging equipment, and loading/unloading onto customer trailers or carrier trucks. It also includes on-site demonstrations and short test operation of units in the yard. Major overhaul or heavy repair work that is performed as a primary business activity should be coded separately and payroll segregated from 8028.
Who It Applies To
- Heavy equipment rental companies with outdoor storage yards
- Tool and machinery rental centers that stage and test units on-site
- Yard attendants, riggers and forklift operators who move rental equipment
- Technicians who perform preventive maintenance and pre-rental inspections
- Drivers or dispatchers whose primary payroll is yard duties rather than long-haul driving
Common Job Duties
- Inspecting machines for leaks, wear, and operational problems prior to rental
- Refueling, checking hydraulic fluids, topping off batteries and charging
- Loading and unloading equipment using forklifts, winches, or cranes
- Performing basic preventive maintenance and minor adjustments
- Coupling equipment to transport trailers and securing loads
- Cleaning equipment and preparing it for customer pickup or delivery
- Documenting condition, logging hours, and recording service performed
Common Injury Risks
Understanding the $4.375 Rate
The pure premium rate of $4.375 per $100 of payroll represents the insurer's estimate of expected claim cost for this class per unit of payroll. To calculate the pure loss portion, divide total payroll by 100 and multiply by 4.375. The final workers' comp premium an employer pays will also include insurer expense and profit loads, any experience modification (X-mod), payroll audits, policy credits or debits, and elected deductibles or retrospective adjustments.
Cal/OSHA Compliance Requirements
Cal/OSHA requirements that commonly apply to rental yards include maintaining an Injury and Illness Prevention Program (IIPP), providing powered industrial truck (forklift) operator training and inspections, and complying with Hazard Communication (SDS, labeling and training) for fuels and hydraulic fluids. Employers must implement lockout/tagout procedures for servicing equipment, establish traffic control in yards, provide appropriate PPE, and keep inspection and training records to demonstrate compliance.
How Key HR Helps Employers Under Class Code 8028
A PEO like Key HR can help employers in this class maintain accurate payroll classification, conduct loss-control visits, deliver equipment-specific training (forklift, rigging, HAZCOM), and manage claims through dedicated claims advocates. Key HR also implements return-to-work programs, assists with OSHA-required programs and documentation, and can often lower total workers' comp costs through improved safety performance and consolidated buying power.
Get a QuoteFrequently Asked Questions
Are mechanics who do repairs in the rental yard covered by 8028?
Technicians who perform basic preventive maintenance and pre-rental inspections are usually included in 8028. However, if a shop performs heavy repair, major overhauls, or fabrication as a primary business activity, those payroll hours should be separated and coded to a repair or service class—discuss payroll segregation with your insurer or PEO.
Do delivery drivers or transport drivers belong in 8028?
Drivers whose primary job is yard dispatch, short pickups and drop-offs that are part of the rental operation are often included in 8028. If employees spend most of their time driving on public highways or perform delivery work separate from yard duties, their payroll may be allocated to a transportation/delivery classification—verify with your underwriter or Key HR to avoid misclassification.
What practical steps reduce workers' comp costs for rental yards?
Implement a documented IIPP, enforce forklift and rigging training, require pre-use inspections and vehicle checklists, use mechanical aids for lifting, maintain spill prevention and HAZCOM programs, and maintain a light-duty return-to-work plan. Consistent training, timely safety audits, and prompt claims reporting are proven ways to lower frequency and severity, which improves experience modification over time.
Quick Facts
- Class Code
- 8028
- Classification
- Equipment Or Machinery Rental Yards
- Pure Premium Rate
- $4.375 / $100 payroll
- Effective Date
- September 1, 2026
- Source
- WCIRB Approved Filing
Manage Workers' Comp Through a PEO
Key HR provides pay-as-you-go workers' comp for California employers — no large deposits, no audits, better rates.
Get a Quoteor call (800) 922-4133Ready to Simplify Workers' Comp for Class Code 8028?
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