"Pay As You Go" G/l And W/c Insurance

Mike(VA)

Anybody use 'pay as you go' plans for general liability and workers comp insurance? There are several companies who offer this option that look enticing. Not sure about recordkeepping hassles, though. Any thoughts?

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I EXPECT THAT SOMEDAY I WILL SEE THE FRUITS OF MY LABOR. IS IT SOMEDAY YET?
Clifton, Great Falls, McLean, Fairfax Station, Manassas, Virginia Renovation Contractor

HWCostruction

I pay mine in thirds for 3 consecutive months. No bid deal.

Mike(VA)

That's not exactly what I mean. Pay as you go policies have premiums that are based on actual payroll or receipts and are paid as incurred. I don't know whether they are incurred every week, or month, but it seems most plans have no down payment. You don't have to guess at your annuals and most don't audit since premiums are based on submitted actuals.

Also, if you had a banner year last year, and will be slow this year, your rates for this year will still be based on last year's gross but of course will be adjusted for next year in which you will do much better but you paid less and on and on. These types of policies eliminate that problem and spread the cost out over the year based on what you actually do.

That's the most I know about this which is why I am asking.

__________________
__________________________________________________ ___________
I EXPECT THAT SOMEDAY I WILL SEE THE FRUITS OF MY LABOR. IS IT SOMEDAY YET?
Clifton, Great Falls, McLean, Fairfax Station, Manassas, Virginia Renovation Contractor

maceycon

I used it for MY WC, but not my liability. I liked it. It went by my weekly payroll. If there was s slow week I dind't have to pay a furtune. The company I was going through also did my payroll. They were ripping me off with fee's so I dumped them, but would have loved to stay with the pay as you go W/C. After the policy I have now runs out I may look to get back to pay as you go.

What companies have you found that offer it.

Mike(VA)

I'm looking specifically at PayCycle www.paycycle.com and their PayCycle Plus program. Haven't dug too far but they don't charge for checks or W2's. How much anything else is I don't know but it is an online payroll processing company and it looks ok. They do offer wc as a pay as you go option, not sure about gl insurance. I have a meeting with my agent next week and I will ask him.

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__________________________________________________ ___________
I EXPECT THAT SOMEDAY I WILL SEE THE FRUITS OF MY LABOR. IS IT SOMEDAY YET?
Clifton, Great Falls, McLean, Fairfax Station, Manassas, Virginia Renovation Contractor

maceycon

Curious to find out how you make out. I used Paychex, I was told it was 25 a week to do my payroll. My lowest monthly bill was 178 and highest was 228. That didn't included taxes or ins just fee's. I grinned and bared it for awhile because I liked the weekly W/C. I got to a point where I felt like I was being ripped off and canceled. I never had an issue with the W/C just the rates Paychex charged me.

nlgutters

It is obviously going to be more money but i would love to do it. But they won't take me beacuse i'm high risk. i think the idea is great though.
No suprises at the end of the year and you don't have to pre pay for a service you aren't goingto use for 12 months.

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www.nlseamlessgutters.com

maceycon

I'm surprised they wouldn't take you. They took me for siding, windows and roofing.

Grumpy

Never heard of them, however there is an audit every 6 or 12 months. You only pay for what you use, sometimes at audit you get money back. Sometimes at audit you end up owing more.

I pay mine monthly.

AtlRemodeling

Our Greater Atlanta Home Builders Assoc is actually self-insured. They have a monthly on-line report that is pay as you go for WC. The are supposed to add GL to it as well but not yet. They have a yearly audit that is very quick and painless if your records are in order.

Check to see if you local home builders assoc has something similar.

Schmidt & Co

Once a year audit & mothly payments based on last years audit. As a side note, my insurance co. can adjust my monthly payment if i ask. If my labor is down for the year, I can report that to my agent & get the reduction in my monthly. It just better be accurate, or I get hit next year!

Treeandland

I do self reporting for my Workers comp. monthly, it's great. In the winter we barely work and barely pay accordingly. My rates are pretty high because we do tree work also but it is through NVBIA, which I guess BIIA is a part of in Va.? I do have to put down I think 10% and then audit at end of the year.
Liability I have through another co.