Are you looking to getting a Workers Compensation Insurance Quote for your business? Let’s walk through some of the process as well as give you some pointers to help make your experience go as smoothly as possible.
When you first begin working with a broker, make sure that you are aware that you will be providing information about your business. The information you provide will determine the premium amount that your future carriers will propose. So, being specific and consistent when requesting quotes for various agencies is important.
The class codes your employees will be classified in will be dependent on what industry your business is in. Providing your broker a detailed account of your description of operations as well as the employee’s job descriptions is key. This will ensure that your broker will place each employee in the correct class code when trying to obtain a competitive quote.
You will also be asked to project future annual payroll figures broken out by each class codes. It is vital to project these numbers as accurate as possible. If your numbers are projected too high, you will have a larger deposit and very large monthly installments. If you choose to do monthly payroll reporting, you will be paying premium based off of actual payroll figures so your monthly payments will amount to what is truly owed for each specific month. On the other hand, if you project too low, then you could possibly get stuck with a monstrous audit bill at the end of your policy period. Either way, not to worry! Once the audit is performed, it will reconcile any discrepancies and you will only end up paying the true premium amount owed as long as your broker knows how to dispute the audits on your behalf.
Another very important factor to consider when getting a competitive quote is to maintain a good loss ratio. Every business paying over a certain minimum premium amount is appointed an Ex-Mod or Experience Modification. This is similar to a credit score for your business except instead it measures your company’s loss ratio in terms of claims versus premium paid. This “rating” or number will largely affect your rate as well as your premium either negatively or positively.
Last but definitely not least, you must try your hardest to choose the best broker possible to handle the job of getting your most viable and competitive Workers Comp Quote. Not every brokerage has the same markets and carriers that they work with. The markets and carriers they do have access to will depend on the agencies size, abilities, niches, relationships, and connections. The best case scenario is to find a brokerage that specializes in your industry, type of business and/or niche market.
We here at ProAction Insurance pride ourselves in being very well versed in the home health, home care, and hospice industries. We are determined to find you the most competitive workers’ compensation quotes and look forward to the opportunity to saving you time and money! So, let’s get started. We are just a call away!