Policy Premium is based on annual estimated payroll. An audit simply verifies the actual total payroll for all officers, employees, subcontractors, and casual laborers. Proper classification of all officers, employees, and subcontractors based on the job they perform is also determined. Participation in the Monthly Self-Reporting or Pay-As-You_Go Payment plans does not except you from a final audit.

How to Avoid Audit Surprises
Your final workers’ compensation premium is determined from the actual payroll of your business versus the estimated payroll provided at policy inception. Audit surprises most often result from changes to the number of employees, their job duties and subcontractors hired. By notifying your insurance agent when any change occurs, we can adjust your policy accordingly and help you avoid these surprises at audit. Please also note subcontract charges are based on proof of a valid workers’ compensation policy or Certificate of Exemption for the hired subcontractor. Collecting these documents during the policy period will ensure a timely audit is processed and no surprises for you.

Compliance
We will have the auditor make two good faith attempts to perform the audit of your policy. If the auditor is unable to contact you to schedule your . audit, your current policy will be subject to cancellation and reinstatement will not be offered until this audit is performed.

Records Needed For Your Audit
The auditor will need to see the following records:

• Individual payroll records for all entities covered by your workers’ compensation policy.
• General ledgers, payroll journals, check stubs, and last year’s profit and loss statement.
• Schedule C, Florida RT-6’s, Federal 941’s, and any 1099’s.
• Total overtime per employee.
• List of all officers and their payroll, including bonuses and fringe benefits. Include copies of valid exemptions if the officers are exempt from workers’ compensation.
• Amounts paid to subcontractors and casual laborers, along with a description of the services they provided and a breakdown on how much was paid for labor. Also have the invoices for materials and equipment.
• Certificates of Insurance or valid exemptions for all subcontractors and casual labor used during the policy period. Please note: if you cannot provide either an exemption or proof of insurance for your subcontractors, you will be charged premium on the amount you paid them.

If You Don’t Agree with the Audit
If you do not agree with the results of your audit, you will need to send a formal dispute request. The dispute request must be on your company letterhead and be signed by an owner/officer of the company. Your dispute, must state the reason you disagree, and include any supporting documentation. Remember to include your name and policy number on the dispute. The written dispute may be sent to us direct at audit@fcbifund.com or be presented to us, on your behalf; by your agent.

Audit Payment Plans
Payment plans for an additional premium that may be owed based on your policy’s payroll audit may be available upon request. Please call POLICY SERVICE at 866-469-3224 or email us audit@fcbifund.com if you would like further information.