Chapter 18 – Premium Audit Preparation

Savanūr Predicting the exact amount of payroll is difficult in most cases; therefore Workers Compensation insurance companies will need to reconcile with their policyholder as to the exact amount of payroll by classification code. This reconciliation process is called an “audit.” In most cases, until the audit is complete, premiums paid during the policy term will not be exact. In this chapter we show how to be prepared and keep up-to-date records for an audit. Each designee will learn how to properly budget around the variable cost of payroll by using our Complete Audit Package developed especially for the CWCE designee.

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