You Already Get Refunds
At the beginning of your policy year, you don’t know what your payrolls will be for the entire policy year. So, your payrolls are estimated and you typically pay premium based on the estimated payrolls.
After a policy term is completed, a payroll audit typically takes place. The audit is usually performed about three months after the policy expires. The purpose of the audit is to assure actual payrolls are correctly assigned to the proper classifications. After the audit, a “true-up” takes place because both you and the insurance company now know exactly how much payroll was paid for each classification during the policy year.
- If the estimated payrolls were less than what actually occurred, you will get a bill from the insurance company.
- If the estimated payrolls were more than what actually occurred, the carrier would get to use your money throughout the year and you would get a refund after the payroll audit was finalized.
Is this the refund you are getting? If it is, you should expect it but our audit many times produces additional refunds.
We audit the promises the insurance company makes in the policy against their actual practices. That is, the insurance company promises to conduct business in accordance with the rules and laws that govern workers’ compensation in your state. Insurance company noncompliance can cost you money. The concept is simple but the audit process is complex.
If you pay in excess of $100,000 in annual workers’ compensation premiums for a guaranteed cost or loss sensitive plan, there is a very high probability that you’ve overpaid your workers’ compensation insurance. If so, we can get your money back for you. If you meet the profile mentioned above, you may qualify for our contingent fee plan. We also offer hourly and flat fee programs.
