🧾 Don’t Let Your Workers’ Comp Audit Cost You More Than It Should

Every business is required to go through a workers’ compensation audit—but too many owners treat it like a formality, when in reality, it’s one of the most overlooked ways to save serious money on insurance.

At The Luxury Group, we see it all the time: class codes that don’t match job descriptions, pay-as-you-go programs that miss key details, and audits handled entirely by payroll providers without a second look. The result? Businesses overpaying thousands of dollars every year without even realizing it.

🔍 Why These Audits Matter More Than You Think

An audit is your carrier’s way of making sure your coverage—and your premium—matches what’s actually happening in your business. But if no one’s reviewing the classifications or catching mistakes, you’re likely paying more than you need to.

We regularly catch:

• Mismatched class codes that bump up premium costs 
• Tipped wages and overtime not accounted for properly 
• Job roles assigned to the wrong risk category 
• Missed exclusions that you should never be paying for 

Even a small correction in classification can make a big difference in what you owe.

💡 The Problem with “Pay-As-You-Go” Workers’ Comp

Payroll companies often push pay-as-you-go workers’ compensation programs as the easy route—but easy doesn’t always mean accurate. These systems are rarely tailored to the specifics of your business and can completely miss key factors like seasonal roles, part-time vs. full-time employees, or excluded payroll.

Automation can be helpful—but without someone watching over the process, you’re often leaving money on the table.

🛠️ Control the Process, Cut the Waste

If you’re not actively managing your workers’ comp audit, someone else is—and they probably don’t understand your business like you do.

That’s why it pays to work with a professional who can:

• Match each employee to the correct classification code 
• Review documentation before your audit is finalized 
• Catch miscalculations before they cost you 
• Integrate your payroll and policy the right way 

A little extra attention here can lead to big savings—and fewer headaches later.

✅ Bottom Line

You can’t avoid a workers’ comp audit—but you can take control of it. Whether you’re a growing business or just want to make sure you’re not overpaying, it’s worth having a second set of eyes on your policy.

The Luxury Group helps businesses clean up classifications, simplify audits, and keep workers’ comp costs in check.

👉 Let’s take a look together. Contact us for a quick, no-pressure review.