NYS Workers Comp “Pay as You Go” Right Choice for Cash flow
NYS Workers Comp billing has come a long way in the last 10 years. Traditionally Workers Comp Premiums are estimated at the beginning of a policy year based on what the business owner projects as his anal payroll. The carrier then offers installments based on that estimate. Although these installments help the business owner control NYS Workers Comp bills it still leaves the insured open for a nasty and in most cases unexpected audit bill.
NYS Workers Comp Pay as you go what is it?
Pay as you go programs are are not brand new they have been around for 10 or more years. But recently more carriers have woken up to the fact that it is a convenient way to collect premiums for them as well as insureds. The business owner benefits because they are remitting their Workers Comp premium either via a payroll service or a self reporting mechanism provided by the carrier. The Insureds NYS Workers Comp premium; which is a function of payroll; is calculated on a per pay period basis to the penny. This is a more accurate way for the insured to determine what their real time NYS Workers Comp premium is. Most payroll companies now offer NYS Workers Comp Pay as you Go and some specialty Carriers such as Applied Underwriters are a Comp carrier and a payroll service wrapped into one.
NY Workers Comp Pay as you go not just a benefit to employers Carriers Win Too.
The carrier benefits because they no longer have to chase large audit bills or refund over paid premiums. It also improves their cash flow and they eliminate the risk of losing a client due to billing frustrations or cancellations for non pay. So it is a Win Win for both carrier and insured.
NYS Workers Comp pay as you go is it right for you:
If you own a business that has high turn over or it’s seasonal in nature, your NYS Workers Comp premium is fluctuating every year. Take the uncertainty out of your year end audit. Contact us .