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Insurance Audit Checklist

Controller, Payroll, and Broker Resource

Prepare for a premium or workers-compensation audit with a document checklist for controllers, payroll leads, and brokers. Collect payroll registers, tax filings (941, state unemployment, 1099s), sales journals if the policy is sales-rated, certificates for subcontractors you want classified as independent, and the auditor’s request letter. Audit adjustments can change premium after the term. Not insurance or tax advice; confirm current classification rules and what the auditor asked for in writing before you send files.

Insurance Audit Checklist form template preview

Key Benefits

Match the auditor’s written request item for item
Pull payroll by class code and state
Attach 941s and unemployment reports for the policy period
File 1099s and certificates for subcontractors
Provide sales journals when the GL is sales-rated
Keep a copy of everything you send

Common Use Cases

Year-end workers-compensation auditsGeneral-liability premium audits on sales or payrollContractors proving subcontractor insuranceMulti-state employers splitting payroll by stateFirst audits after a mid-term class changeDisputing a tentative audit with better records

Frequently Asked Questions

What is an insurance premium audit?
After a policy that uses estimated exposures (payroll, sales, units) expires, the carrier or a contracted auditor reviews actual figures and issues an additional or return premium. Workers compensation and many CGL policies are auditable.
Which payroll records are usually required?
Payroll registers by employee and class, overtime handling as the manual requires, cash compensation, and 941/state unemployment totals for the policy period. Officers may be included or excluded per state WC rules.
Why do auditors ask for subcontractor certificates?
Uninsured subcontract labor is often added back to your WC or GL premium. Certificates, contracts, and 1099s support classifying that cost as subcontract rather than employee payroll—if the facts and state rules agree.
Is this insurance advice?
No. Classification and inclusion rules are state- and manual-specific. Send what the auditor requested, keep copies, and involve your broker if the tentative audit looks wrong.

Checklist

Request

Auditor engagement letter listing documents and the policy period
Required

Send only the period asked for unless told otherwise.

Payroll

Payroll registers by employee, class code, and state
Required

Include overtime and bonus treatment notes.

Tax

Forms 941, state unemployment reports, and W-2/W-3 totals
Required

Must cover the audit period.

Subs

Forms 1099-NEC and contractor payment ledgers

Tie to certificates and contracts.

Subcontractor certificates of insurance for the work period

WC and GL as the auditor requires.

Sales

Sales journals or tax returns if the policy is sales-rated

Common on CGL audits.

Officers

Officer inclusion/exclusion elections and ownership percentages

State WC rules differ.

File

Index of files sent and the date uploaded or mailed
Required

Needed if the auditor says something was missing.