The workers compensation audits have to be performed annually by the auditors of a company. In addition, these audits are to be reviewed by a workers’ compensation attorney in Orlando, and then finalized by an external auditor sent by respective insurance company. Many times, these external auditors can charge you extra premiums that can not only cause an additional premium but also cost you hundreds and thousands of dollars.
Mistake 1: Applying Wrong Workers Compensation Classification Codes
Scenario:
Misclassification of job codes can occur in many cases when workers’ compensation audits are performed by insurance companies.
What You Can Do:
- Watch out for any changes an auditor might make in your workers compensation class codes
- Run a check in the end to confirm if there has been any such change
- Make sure that your subcontracting labor and employees have been properly and correctly classified
Mistake 2: Making Amendments in Complex Calculations
Scenario:
Complex calculations play an important role in the experience of the company as they help compare a specific company with other rival businesses of the same industry. When an audit is completed, the insurance companies go through recalculations of premiums during which the complex calculations are also taken into accord. These recalculations can often cause an error in the premium.
What You Can Do:
Insurance companies can be very strict when it comes to rules and regulations. Because the calculations are complex, the process can be complicated as well. In order to apply recalculations on a policy, there are time limits and time frames. If the limits and frames are not followed accordingly, an additional premium can be applied. It is best to have an independent source like workers’ compensation attorneys review your calculations frequently.
Mistake #3: Responsibility of workers’ compensation audit
Scenario:
Many employers believe that they are responsible for the amount involved in the workers’ compensation audit for subcontractors. Auditors are smart. They watch out closely when they are conducting an audit for the uninsured subcontract labor. They will try to ask you questions that will reveal holes allowing them to add more premiums to your audit. The auditor will always arrive favoring the insurance company and he will be at their side, not yours.
What You Can Do:
While it is legal to increase the amount of premiums if an uninsured subcontracting work is discovered, lapses may happen around there. Frequently insured subcontractors may be wrongly included in the list of uninsured contractors. Always attempt to hire insured contractors and get their certification of insurance for added credibility.
Hire a Workers’ Compensation Attorney in Orlando
If you reside in Orlando, and do not have an audit for independent policy drafted, you should hire a workers’ compensation attorney to find out whether you have underpaid or overpaid. By finding out the situation of the matter, you can recover not even hundreds but also thousands of dollars in premiums.
Find out more from your workers’ compensation attorney in Orlando for it will cost you nothing. Even if you do not have anything to recover, you still have nothing to lose.
