When KEMI issues a policy, the cost of the policy is based upon the policyholder’s payroll estimates. The purpose of the audit is to obtain and verify the information necessary to compute the actual versus estimated premium for the policy period. In addition, premium audits are required to meet regulatory requirements and collect rate making data. An audit may be conducted by a KEMI representative or a third party hired by KEMI.
Audits can be conducted in the field at the location where the business records are maintained, by mail or online.