David, I just can't thank you enough to finding and return to us the $27,438 in overcharges from our last two years of audits.  I only wished we would have be allowed to go back to the prior years to recover money money.  More importantly, you provided us a process so that we can avoid being overcharged in the future by the insurance companies.

— Ralph Kemp, ELK Air Conditioning

When it comes to your policy-year audit,

are you being Overcharged?


75% of Premium Audits are INCORRECT according to studies.

      – The Institute of WorkComp Professionals


There is more unnecessary money wasted here by employers than you will ever realize. The Institute of Work Comp Professionals (IWCP) has compiled data from the Advisors they educate around the country and have found that 75% of all audits are incorrect. You read this correctly; it is 75%.


With over 600 Classification Codes, over 17 types of payroll that should not be included, chances are your audit contains errors resulting in you being overcharged!

Common Mistakes Made During Workers Compensation Audits

  • Auditor uses the wrong class codes for one or more employees.
  • Auditor applies the wrong experience mod when calculating your audit premium.
  • Workers compensation policy credits given by the carrier at the beginning of the policy are not showing up on audit.
  • The original manual rates quoted to you are not the same as the rates on the audit.
  • You are being charged for sub-contractor payments even though you have a valid certificate.
  • Incorrect payroll figures are used on when calculating the audit.
  • Owners and officer were not excluded from the audit when they were excluded on the policy.
  • You had an employee in multiple workers compensation class codes but the payroll was not separated on the audit
  • Classification Codes used were not on the original policy
  • Overtime was not properly treated (In PA, overtime is included)

As an auditor has to complete upwards of 6-8 audits a day, the auditor has a process, a map to follow, to reduce the likelihood they miss something. Problem is, this process leads to errors falling in the favor of the insurance company!


A premium audit is unavoidable, it is required so that you pay a premium based on your actual exposures and not estimated exposures, and that the rating bureau receives actuarial data so that they can compile rates.


However, Errors and Overcharges are AVOIDABLE!

To better understand the Auditor's Process download the Auditor's Process Map.





To find out if you have been overcharged, download our Audit Checklist.





If you want to build an Error & Overcharge Free Premium Audit and make sure you are not overpaying even one dollar, simply request a complete AuditCheckTM Program TODAY!

Get in Touch



David Leng, CWCA,


724-863-3420 x 3329



John M. Duncan, Jr


724-863-3420 x 3311