National Risk Services - Workers Compensation, General Liability, Auto Fleet Premium Audit Services

PREMIUM AUDIT

National Risk Services, Inc provides workers compensation, general liability and auto fleet audits on businesses of all sizes.

Premium audits are an important tool for both policyholders and underwriters to ensure that coverage is accurate and all risks are adequately covered. By reviewing policyholder’s records and operations, our team can identify incongruences in policies and coverage needs and ensure that all premiums accurately represent the proper risk exposure – no more, no less.

With a physical presence in the Southeast and a trusted network of regional auditing firms, National Risk Services, Inc can conduct physical, telephone and voluntary audits across the nation in a timely and professional manner.

Our premium audit staff is trained to deliver the high-quality results with a professional demeanor – whether on the phone or in the field – so when you work with us, you can trust that your policyholders are in good hands.

Contact our sales department today to find out more about our premium audit services.

PREMIUM AUDIT SERVICES

Our premium audit services are available nationwide through our trusted network of regional auditing firms. The type of audit we conduct is based on the size of the policy and/or the nature of the operations, and will generally fall under one of the following categories:

Physical Audit

Generally conducted on-site or at an appropriate secondary location.

Telephone Audit

Conducted over the phone by a representative from our team. Telephone audits are generally for small- to mid-sized accounts.

Email Audit

A voluntary audit form with instructions is mailed to you; the completed form is to be returned to us. These are generally conducted for smaller accounts.

Voluntary Audit

Completed by the policyholder in any state where they are permitted.

THE PREMIUM AUDIT PROCESS

A premium audit typically involves the inspection of accounting records including payroll journals, disbursements journals, general ledgers, Social Security reports, state unemployment forms and other tax reports. During the audit process, we recommend that companies designate an individual to assist the auditor to help locate these materials. Ideally, this is someone who is familiar with the work done by all departments and employees as well as the records needed to complete the audit.

Based on the guidelines set by your insurance carriers underwriting and premium audit departments, some policies may not require an audit. Be assured, all audits are treated with the highest level of confidentiality. The type of premium audit conducted is based on the size of your policy and/or the nature of your operations

BENEFITS OF A PREMIUM AUDIT

For business owners, a premium audit will ensure that coverage is accurate and that you are not paying more than needed in insurance premiums. At times, our auditors may find areas of your business that are not appropriately covered, which may mean an increase in premiums. However, keep in mind that the goal of these audits is to ensure that your business is appropriately covered – no more, no less – and that you are protected from any and all risks.

Many insurance premiums are based on payroll, or total compensation for services performed by employees. This includes money and money substitutes such as bonuses, vacation pay, wages, commissions, payment for piece work, profit sharing plans, value of board and lodging, sick pay, holiday pay, overtime and other money substitutes.

A premium audit may reduce your insurance premiums if your payroll records reflect:

In most states, overtime pay can be deducted, if it can be verified in your records. In order to qualify, you must have records showing overtime pay by employee and summarized by classification of work by state.

:In most states, overtime pay can be deducted, if it can be verified in your records. In order to qualify, you must have records showing overtime pay by employee and summarized by classification of work by state.

It is the policyholder’s responsibility to keep payroll records on a time basis and ensure that the hours in each classification are accurate. Percentages are not allowed. If accurate payroll breakout is not maintained, all payroll will be assigned to the higher classification.

Subcontractors without insurance coverage are treated as employees in most states. If a subcontractor is insured, it’s important to obtain a copy of the insurance certificate. A written statement from the subcontractor is not adequate proof. Keep the certificate on file for the auditor to review.