Audit Shield

Workers Comp Audit: What Small Businesses Need to Prepare

A practical overview of the payroll, employee, subcontractor, tax, and accounting records commonly reviewed during a workers comp premium audit.

Updated August 29, 2026

What the audit reviews

A workers compensation premium audit reconciles business activity during a completed policy period with the information used to estimate the original premium. The auditor may review payroll, employee classifications, subcontractor payments, insurance certificates, and tax or accounting records.

Why subcontractors matter

Payments to subcontractors may require additional review when insurance evidence is missing or does not cover the full period worked. Keep payment amounts, work dates, and confirmed certificate details together.

Prepare before the request is due

Confirm the deadline, collect each required document group, review date gaps, and keep a record of the exact package submitted.