Being an insurance carrier is tough enough, let alone the time and resources it takes to handle the billing of each and every insured. That is why more and more insurance carriers are changing the way they bill for workers compensation and other insurances.
TrakPay helps insurance carriers by taking the burden of managing the billing of clients off their backs, and gives them a sophisticated billing system that ensures accuracy. Trakpay will use the net rates for a particular client to calculate the premium owed whenever it collects payroll information. TrakPay can obtain the payroll information from payroll companies, accountants, bookkeepers, partner insurance agents, and actual clients themselves. Once Trakpay receives the payroll information, the premium is calculated based off the client's net rates, and TrakPay will debit the premium from the client's checking account. Once debited, TrakPay will forward the premium held in trust to the client's insurance carrier so that the carrier gets paid for what exactly each client owes based off their ever-changing payroll.
What is pay-as-you-go Workers Comp?
Usually Workers Compensation premiums are based on estimated payroll figures determined prior to the policy period. When the policy renews, an audit is done to determine the actual payroll for the policy period. If you're payroll is higher than your initial estimate, you'll owe extra premium ON TOP of your down payment for the next years renewal!
The revolutionary Pay-As-You-Go Workers Comp program offers an incredible solution to the traditional method. Instead of making estimates and doing major audit adjustments, you pay premium each pay-period based off of actual payroll wages. When you have your audit, you will have already been paying premium based off actual wages. Minimal adjustments might be needed to make sure employees are correctly classified, but all your normal hassles are gone!
- Premiums are based on actual payroll not estimates
- Eliminate large installment payments
- Eliminate or reduce additional premiums due at audit
- Ease of annual policy audit
- Maximize cash flow
- Real-time evaluation of premium payment history and calculation
For more information on how this service can benefit your company and your clients contact us today!