Audits
For many businesses, the word “audit” carries a negative stigma. The ATA Comp Fund takes a different approach: our auditors focus on creating a positive experience by building long-term relationships and working to ensure that premiums are calculated fairly and billed accurately.
In most cases, your business will be assigned the same auditor year after year. Our auditors are dedicated to the ATA Comp Fund program and bring a deep understanding of the industries we serve. As they become familiar with your operations, the audit process typically becomes smoother, and they can offer valuable insights into managing and streamlining payroll records.
Several factors determine the cost of your premium, such as your total payroll and how your employees’ jobs are classified. Since changes can occur during the policy period, audits are necessary to ensure your business is properly covered. In some cases, an audit may even uncover savings opportunities, such as a misclassified job role.
Our goal is to ensure you’re paying the correct premium each year while delivering a supportive, informative audit experience.
Where can I find my completed audit worksheet?
Log into the Portal. From the left hand menu, select My Documents. Below the table on this page, you will see a link to download your audit worksheets.
Where can I find my Premium Audit Summary?
Log into the Portal. From the left hand menu, select My Policy. Next, on the correct year, select the Actions drop down menu and select View Policy. Last, click the Final Premium Audit link from the Menu bar. The Premium Audit Summary can be view by state.
Why are audits performed?
Your policy was issued based upon estimated payroll. This audit allows both you and the insurer to be certain that coverage has been properly and fairly billed. Your policy contract and some state workers’ compensation laws require audits.
When are audits performed?
Cancellation audits are performed as soon as possible after workers’ compensation coverage is terminated. Yearly audits for employers currently insured are performed at the end of each policy period.
How will my audits be performed?
Your Audit Will be conducted Virtually.
If we have your email address on file, information regarding the record upload process will be sent to that email address.
What if I have more than one location or entity?
The records for all locations or entities listed on the policy must be provided at the time of the audit.
What records are needed for my audit?
We may request copies of certain documents during your company’s audit. Please have the following records and information available for the audit period:
- State Unemployment Quarterly Tax Reports and Federal 941 reports
- Federal reports, such as 1099 and 1096 forms (Unless this is a calendar year audit, please provide the report by audit period)
- Payroll summary showing gross wages by employee for the audit period
- To receive credit for overtime paid to employees, payroll must be listed in summary by employee job duties
- Cash disbursement journals/General Ledger/Profit and Loss
- Bank statements and copies of cancelled checks (if requested)
- Reports from an outside payroll service, if applicable
If any subcontractors were used by your company, your company will also need to provide the following:
- Subcontractor invoices, contracts, and amounts paid to each subcontractor for labor and materials
- Valid certificates of workers’ compensation insurance from subcontractors that correspond to the full period when the work was completed
Who should represent my company at the physical audit?
Our auditor must have the assistance of a person familiar with the records and duties of each employee.
Are there penalties for not cooperating with the audit?
Yes. We may cancel your policy for failure to provide audit records or for failure to cooperate with the auditor, in addition to imposing penalties and fines that may include:
- If your state allows it, a fine may be assessed if you fail to maintain and/or allow access to essential records.
- If the auditor is unable to complete an audit, we may arbitrarily determine payroll and charge up to a maximum of two to three times the most recent estimated amount of premium. The penalty is determined by your policy endorsement or state statute.
How can I file an audit dispute?
Based on the type of your dispute, please email the appropriate information and documentation, as listed below, to accounting@atacompfund.org. Be sure to include the policy number, your organization’s name, your name, and contact information. We will assign your request to a dispute representative, and an auditor will be in touch within two business days.
Type of dispute:
- Payroll: Send a copy of your payroll summary showing gross wages by employee for the audit period.
- Class code: Provide an explanation of why the class code(s) are incorrect, as well as a detailed description of your business operations.
- Officer/employee classification: Provide the names of disputed offers/employees along with their day-to-day detailed job duties.
- Overtime: Send a copy of your payroll summary showing gross wages and gross overtime listed separately by employee.
- Subcontractor: Provide workers’ compensation certificates of insurance, a copy of the exemption form or proof that the contractor meets the definition of an independent contractor.
- Officer exemption: Send a copy of the officer’s exemption or revocation.
- Wrap-up—common term for owner controlled insurance program (OCIP) or contractor controlled insurance program (CCIP): Send a copy of the project monthly payroll reports, project certificate of insurance, and a copy of the contract for the project.
- Other: If the reason for questioning the audit is not listed here, please email accounting@atacompfund.org, explaining what items you wish to dispute and provide documentation to assist in our review.
If my policy is cancelled, do I still need to complete an audit?
Yes. Whether you were paying premiums based on estimates or you were part of our WebCAP (monthly payroll reporting and payment) program, all policies are required to comply with the audit which is outlined in the policy. This audit will be used to determine the final premium for the policy period.