Pay only for the work coverage you need.

Your business is constantly changing. Our premium consultation services ensure premiums are paid based on actual payroll as it evolves and grows. We conduct state bureau-required audits for customers to verify correct payroll and classification information. This allows us to help you account for business changes like employee turnover or growth.

In short, this year-end audit ensures you are paying on your actual payroll and risk exposures.

At the inception of your work comp policy, your premium is estimated based on estimated wages. We calculate your actual wages at the end of your policy period. One of our consultants conducts the audit via phone, mail, online, virtual, or a physical visit to your site. How your audit is completed depends on several factors, including your company’s size and potential exposures. 

For some new policyholders, we perform a new business consultation within the first three months of the policy. This is an excellent opportunity to ask questions about payroll classifications and records to ensure proper classification and avoid surprises (like higher-than-expected rates) with the final audit.  

We complete state-required audits and follow the rules and regulations for determining work comp premiums established by the National Council on Compensation Insurance (NCCI) and approved by state insurance regulators.

Good record-keeping can save your business time and money during the audit process. At the beginning of the process, your consultant informs you precisely what records you need during the audit. View our Audit Checklist to help you plan for your audit in advance.   

Gross wages can include any pre-tax deductions; salary, hourly, commission, bonus, piecework, overtime pay, vacation, holiday, sick, incentive pay, housing, and car allowance, whether in money or otherwise. 

Yes, your Premium Consultant will give you some additional time to obtain the appropriate certificates of insurance (COI). However, requesting a certificate from a subcontractor when the work is performed rather than during an audit is recommended. If a valid COI is not obtained, the subcontractor will be included in the audit,and an appropriate premium will be assessed.

The audit must be processed within 120 days of policy expiration per insurance regulations. You can expect to receive the results within 2 to 3 weeks of the audit appointment.  

During the audit appointment, your consultant will discuss differences in the audited payroll versus the estimated or reported payroll. This is an excellent opportunity to ask questions and ensure you understand any discrepancies.  

Once the audit is submitted, an Explanation of Audit (EOA) is generated, reflecting the final premium determination and any adjustments to payroll or class codes. Copies of the EOA are mailed to policyholders, emailed to agents, and are available in the portal. 

The audit process is complete. If the audit results in a bill, you will receive a new billing statement with the amount and the due date. You also receive a new billing statement displaying the credit amount if the audit results in a credit.

Yes, we offer payment plans on audit balances. For an audit payment plan, please contact Customer Care at 800.442.0593 or customercare@mem-ins.com.  

Policyholders and agents can contact Customer Care at 800.442.0593 or customercare@mem-ins.com to obtain audit worksheets.

First, contact your auditor to discuss the audit results. If you still disagree with the audit findings, submit a detailed explanation/description of your concerns and any supporting documentation to premiumconsult@mem-ins.com.  

The audit may be reopened and reviewed by an auditor or audit manager. In the meantime, if you receive an audit billing statement, the amount and due date remain the same until the review is complete. The dispute of an audit does not delay the premium due date.  

A voluntary audit is when an audit is closed using the estimated payroll figures initially provided by your agent. However, if you prefer an audit using your actual payroll figures, email premiumconsult@mem-ins.com to help you through the process. 

Per NCCI rules, if you do not comply with the audit, you may be charged an Audit Noncompliance Charge (ANC), and the policy may be subject to cancellation.  

The ANC allows insurance companies to charge up to two times the initially estimated premium when a policyholder is non-compliant with a work comp policy audit request. 

• Exposure: Refers to payroll.
• Payroll: Money or substitutes for money, payable by the employer for services of individuals who could receive workers compensation benefits.
• Premium: Dollar amount charged for coverage based on payroll calculated on applicable classification codes and rates.