It’s a requirement of every New York business that they undertake regular workers compensations audits. These are audits of payroll records for the purpose of determining how much you should be paying for your workers’ compensation insurance. Standard procedures dictate that this will be carried out by an auditor visiting your workplace, although in some instances it may be possible to forgo the visit if you can provide a premium audit payroll statement.
Businesses are generally required to provide the auditor with copies of payroll, checkbook, general ledger, tax returns and certificates of insurance for covered sub-contractors. A premium audit payroll statement details payroll and other financial records for the period of your previous insurance policy. You will first need to confirm that you are eligible (some industries such as construction are not) and you will be sent a payroll statement form (PA-2) to complete in lieu of a face-to-face provision of business records. There will be special instructions for specific industries, which will be listed on the back of the form.
To see if you are eligible to complete a premium audit payroll statement or another report as part of your workers’ compensation audits, phone your insurance agent. They can offer advice and information on all aspects of the audit.
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