Your Work Comp Audit
What happens when you’re notified that the insurance company’s auditors are coming to conduct a premium audit?
What steps does your current work comp program take in preparing you for your audit?
Do you do it all yourself?
Have you ever considered that’s about like sending all your income to the IRS and saying to them, “here it is – you tell me how much I owe”?
Just for clarity, when you have an IRS audit, do you have a CPA represent you – or do you do that all yourself?
Has your current work comp provider made you aware that the premium audit process which the auditor performs is designed so that all gray areas and a lot of mistakes go in “the insurance company’s favor” causing many employers to be overcharged?
The Butler Vet Process is a 16-step process that has been designed and trademarked by Stromsoe Insurance Agency for its customers.
Let me tell you about somebody who was overcharged by misclassifications. The auditor put everything into what we call “governing class”. We were able to fix it…. The sad part was they had been overpaying that amount of money for at least 5 years and while we were able to get $18,220 back for the previous 3 years – the other 2 years – none of that money was recoverable.
Unlike what your CPA does when you have an IRS audit – Is it possible your agent has never helped you prepare a completed audit package so you know it’s 100% correct and you haven’t been overcharged $10,000 $20,000 every year for the past 10 years.
It never ceases amaze us at the business owners who feel like you do – they want a CPA to protect against overpaying the IRS auditor.…but when it comes to their insurance audit – the FOX is let right into the old, proverbial henhouse …
So when you’re current work comp provider sits down with you and goes through the entire list of “excluded remuneration” items which by law, you do NOT have to pay premium on …what happens next?
Do you know how many items there are?
Do you at least have a copy of the premium auditor’s worksheet so you can verify that you haven’t been Over-Charged after the audit is complete?
The annual premium audit (sometimes known as the payroll audit) determines your company's actual final Workers' Compensation insurance premium for a policy period, as opposed to the estimated premium when the policy started.
The Work Comp Advisor’s at Stromsoe Insurance help you prepare a complete audit package so that you are properly prepared when the auditor shows up. You also get access to the best way to communicate with the auditors and even the best time to schedule an appointment with the audit people. It’s so easy to comply and make sure your work comp premium is correct the first time… when you have the Work Comp Advisor’s throwing the penalty flag on the insurance industry for you.