Automate Compliance, Amplify Growth AI-Powered Efficiency

40%

Surprise Audit Bills from Payroll Growth and Class Code Errors

Workers comp audit firms routinely face unexpected premium adjustments when client payroll volumes shift mid-policy, subcontractors lack valid Certificates of Insurance (COIs), or NCCI class codes are misapplied — such as classifying warehouse staff under clerical codes (8810) instead of storage warehouse (8292). Industry data shows 40% of firms encounter these issues annually, leading to disputed audits, client dissatisfaction, and write-offs. Manual reconciliation of Form 941s, ACORD 130 applications, and job costing reports across inconsistent PDF formats compounds the problem, especially during peak audit season when document requests pile up.

Manual Document Hunting Across Disparate Payroll Systems

Audit teams waste billable hours chasing payroll registers, quarterly 941s, subcontractor agreements, and state-specific class code documentation from clients who store records in QuickBooks, ADP, spreadsheets, or paper files. Without a centralized intake system, auditors manually compile exposure data for experience mod calculations, often missing activity-level classification details that trigger NCCI reclassifications. This fragmentation delays audit completion and increases E&O exposure when payroll volume per class is under- or over-reported.

15%

Misclassification Risks Driving Premium Disputes

Employee misclassification — such as assigning construction laborers (5606) to lower-rated supervisory codes (5606 vs. 5645) or miscoding temporary staffing agency workers — affects 15% of audits according to industry analysis. These errors cascade into incorrect experience mods, inflated or deficient premiums, and potential state fund penalties. Auditors must cross-reference job costing, subcontractor COIs, and state-specific class codes manually, a process prone to oversight when handling high volumes of document requests during renewal cycles.