$15,000 refund from BWC audit

It’s been more than a month since the BWC audit, and my client just got a call saying their biggest manual classification will be changed from one with a base rate of 0.0995 to one with a base rate of 0.0314. The company will get a refund of about $15,000.

I recently blogged about attending the audit and I praised the auditor for spending more than 30 minutes searching for a lower rated manual classification. But he wouldn’t have looked if I hadn’t insisted he take a tour of the shop, where he saw that the risk of injury was much less than the base rate indicated.

I’ve said it before and I’ll say it again: your accountant knows your numbers, but your TPA knows (or should know) your programs and your operation. TPAs should be at payroll audits, or at least invited.

 

Posted in audit, premiums.