Note for pay-as-you-go users:
Certain responses below may not apply to you if your policy is on the pay as you go plan, in which premiums are calculated and remitted in conjunction with payroll processing. Please call the premium audit department at
(800) 677-3252 for further information.
Your workers' compensation insurance policy was issued based upon estimated payroll figures and classification. During the policy year, changes may occur in your operation. When your policy expires, we will review your operations and actual payroll by classification, and make the appropriate adjustments to calculate a final audit premium (this may result in an additional balance due, a refund, or potentially changes to your current policy).
Mail Audits, Telephone Audits, Remote Physical Audits, and On-site Physical Audits are available options. The type of audit you qualify for is based on your business location(s), policy size, and the type of industry in which you operate. Please click on the links above for further explanation of each audit type.
A mail audit is a two-page report form that we will mail to you to complete when your policy expires. All you need to do is enter payroll information by class, answer a few questions, and return it to EMPLOYERS within 15 calendar days through the mail, e-mail, or fax.
Your workers' compensation insurance policy was written with estimated figures. We are required in most states to review your actual payroll and operations and make adjustments to your premium. We use the payroll information you have submitted to determine your actual premium.
- Provide a brief, detailed description of your business including tools/equipment you may use and the products/services you deliver.
- Provide payroll detail by classification. If you paid overtime and tip wages, please indicate the amounts separately on the form.
- Describe any employees or business operations that may not be listed on the form.
- Provide the total payments for casual labor or subcontractors.
- Provide the names, titles, and payroll information for any owners, officers, partners, or members.
- Sign, date, and provide contact information including your e-mail address.
- For further questions, click the contact us link below.
The payroll figure reported on your mail audit form reflects your total gross payroll, excluding all compensation for the owners/officers/members of your business. Compensation figures for owners/officer/members are listed in the Officers/Ownership section located on page 2 of the form.
For a Telephone Audit, you will receive a two-page report form that we will mail to you to complete when your policy expires. All you need to do is enter payroll information by class, answer a few questions, and return it to EMPLOYERS within 15 calendar days through the mail, e-mail, or fax. After you have submitted the form, an auditor will contact you for a telephone interview to complete the final audit process.
To simplify the audit process and avoid any interruptions caused by an On-site Physical Audit, we are proud to offer a Remote Physical Audit option. Our experienced audit staff will contact you to assist in determining if a remote or on-site audit will offer greater convenience. An auditor will call or e-mail a request for payroll records. These records may include 941's, State Unemployment Forms, a Payroll Journal, or a workers’ compensation summary report. An interview will be conducted over the phone, at your convenience.
You will be contacted by one of our Premium Auditors to schedule an on-site appointment to visit your business location(s) to conduct the audit. Our auditor may request 941's, State Unemployment Forms, a Payroll Journal, or a workers’ compensation summary report. Our auditor may also observe your operations to better classify each function.
If you fail to comply with a Premium Audit, we may cancel your current policy, if any, or increase your final audit premium and you may be ineligible for an experience modification. We may also estimate your final audit premium which may result in additional premium due.
After your audit is completed, we will mail you an explanation of your audit results which includes a premium invoice.
- Insurance guarantee funds to guard against insolvent carriers
- Administrative surcharges to fund rating and administrative organizations
- Fraud assessments to finance anti-fraud programs
- Benefit funds to protect uninsured injured workers
- Terrorism Risk Insurance Act of 2002 (TRIA), as amended, is a federal law that provides funding to carriers following a declared act of terrorism
Premium overtime, sometimes called ‘excess overtime,’ is the amount paid over an employee’s regular hourly rate. For example, an employee works 50 hours in a week; the employee’s regular hourly rate is $10 per hour and the overtime rate is $15 per hour.
| Hours | Rate | Pay | Premium | WC Exposure | |
| Regular |
40 |
$10 | $400 | $400 | |
| Overtime |
10 |
$15 | $150 | $50 | $100 |
| Total |
50 |
$550 | $50 | $500 |
An easy way to calculate the premium or excess portion of overtime is to divide the total gross overtime by 3. Please note, overtime is not excluded in Nevada or Utah.
To request a copy of the auditor’s report, please e-mail us at Auditdata@employers.com. You may also fax your request to 877-986-5453. Please be sure to provide your company’s name (as it appears on the policy) and your policy number. Our e-mail reply will include your worksheets as a PDF file.
To request a review of your final Premium Audit, please provide a written request to the Premium Audit Department at Auditdisputes@employers.com or by fax 888-966-5656. Please be sure to include the reason for your request, any supporting facts and/or documents, your contact information, and an ideal day/time for a Premium Audit representative to contact you.
You can submit your Mail Audit Form to:
To encrypt your mail audit form submission please call us at 800-677-3252 and an auditor would be happy to setup a secure encrypted e-mail file transmission.
