Florida Transportation Builders
Safety Award Winners announced
in Orlando
Congratulations are in order
for Florida construction
companies that have
received one of their
industry’s most soughtafter awards–the Florida
Transportation Builders’
Association Safety Award.
In order to qualify,
businesses must have more
than 500,000 man-hours
without a lost-time accident.
You may recognize two of these companies in particular;
we have highlighted Tampa Tank and Tucker Paving for
their outstanding safety programs in a previous issue of
the COMPpress and our Back2work marketing materials,
respectively.
For more than 75 years, the Florida Transportation
Builders’ Association has consisted of individuals and
businesses actively engaged in the construction of
transportation systems or in the furnishing materials,
equipment or services for such construction. The 2013
safety awards were presented during the August 9, 2013,
awards breakfast at the FTBA Annual Convention in
Orlando. ■
Congratulations to the following
Summit clients!
Conalvias USA, LLC
Hardrives, Inc.
Parsons Services
What Can Summit Do for You?
How to Reach Us
Customer Service
Summit offers a variety of services and programs aimed at
controlling your workers’ compensation costs and making
the most of your premium dollars. Here’s a sampling of
some of the tools we have available at no additional cost
to you.


1-800-282-7648
Report a Workplace Injury
Fall/Winter 2013
24 hours a day, 7 days a week by—
 Calling 1-800-762-7811,
 Faxing your report to 863-667-1871 or
 Visiting our website at
www.summitholdings.com (login required)
Online Business Center, where you can—
• Check claims activity
• Print and download loss runs
• Print certificates of insurance (COIs) or waivers
• Find a doctor in our workers’ comp network
Audit isn’t a four-letter word
Florida/Corporate Office
1-800-282-7648 • 863-665-6060
Back2Work®, Summit’s return-to-work program gives you the tools you need to create a plan for your business.
Southeast Region
Georgia, Kentucky, North Carolina,
South Carolina, Tennessee
1-800-971-2667 • 678-450-5825

Open
for Business. Create and save your own
detailed plan for disaster recovery online—it’s free!
provider network,* consisting of more
than 16,000 doctors and specialists experienced in
occupational medicine and workers’ compensation.

Specialized
Arkansas, Alabama,
Louisiana, Mississippi, Texas
1-800-421-2944 • 225-926-3264
Tailored loss-control services,** including—
• Safety consultations
• Drug-free workplace assistance
• Safety education, training materials, classes
and webinars
First, our staff specializes in workers’
comp audits. Most third-party auditors
deal with many different types of business
audits. Using in-house auditors who are
strictly focused on workers’ comp usually means more
accurate audits. Second, in most cases, you will be assigned
the same auditor, year after year. That means your auditor
gets to know your business—saving you the time and
hassle of reeducating a new auditor on the fundamentals
of your business each year.
Classification accuracy matters
www.summitholdings.com
Correctly identifying your NCCI class codes is one of the
primary goals of an audit.
Beyond the audit
In addition to your annual audit, our team is available to
assist you in a variety of ways throughout the year (upon
request). Take a look below to be sure you are taking full
advantage of these services.
• Classification review. Our team is available prior to the underwriting application and at midyear to offer classification expertise.
 In one recent audit case, the employer, who was less

For more
information, tips on workers’ comp and
frequently asked questions, visit our website at
www.summitholdings.com.
Summit Manages
BusinessFirst Insurance Company
RetailFirst Insurance Company
* Proprietary network in Alabama, Florida, Georgia, Kentucky,
Louisiana, Mississippi, North Carolina, South Carolina and
Tennessee. In Arkansas and Texas, Summit uses contracted
networks that offer our clients benefits comparable to our proprietary
arrangement.
than eager to complete the audit, ended up saving more than $19,000 in premium because our auditor caught a classification error.
 An audit of a recycling company resulted in Retailers Casualty Insurance Company
Bridgefield Casualty Insurance Company
Bridgefield Employers Insurance Company
$100,000 credit to a client when our auditor realized
the company had changed some business practices
and, therefore, its employee classifications.
Not only can classification have a major impact on your
premium, it can make all the difference in your company’s
experience modification factor, or mod.
** RetailFirst Insurance Company, BusinessFirst Insurance Company,
Bridgefield Employers Insurance Company, Bridgefield Casualty
Insurance Company and Retailers Casualty Insurance Company
provide policyholders with accident prevention services at no additional
cost.
Tampa Tank Inc.
Tucker Paving, Inc.
Westwind Contracting, Inc.
Summit Consulting LLC has used its best efforts to select
information for this publication from reliable sources, but cannot
warrant that it is complete or accurate. Summit Consulting LLC
does not assume and hereby disclaims any liability to any person
for loss or damages caused by error or omission. Please check
with your agent or attorney for details about the laws as they
may affect your specific business situation.
For a list of sources related to the information
contained in this newsletter, please visit our
website: www.summitholdings.com
www.summitholdings.com
❹
© 2013 Summit Consulting LLC
Turtle Southeast, Inc.
12/13 (13-149)
We use our own in-house auditing
team for nearly 90 percent of the audits
we complete, compared to an industry
average of roughly 50 percent. So how
does this benefit you?
Not buying it? See below for a couple of our real audit
cases that resulted in five- to six-figure corrections—in
favor of the insured business. Be sure to keep reading to
find out how our audit team can help your company, too.
Southwest Region

Our people make the difference
If you’re like most people,
“audit” is a word that sets your
heart pounding—and not with
excitement. Here at Summit, our
audit team works hard to dispel
that negative perception. Believe
it or not, an audit can often have a
positive impact on the long-term
financial health of your company,
even if you end up owing money.
For example, if a business misclassifies a carpenter
(who occasionally answers the phone) as a secretary, the
expected claim potential is very low because secretaries
aren’t expected to have many accidents. Carpenters, on
the other hand, have a higher chance of sustaining an
occasional injury. If this carpenter has an accident while
misclassified, the mod could take a much more significant
hit compared to the same accident for a carpenter who was
correctly classified. For more information about mods and
how they impact your premium, please visit our website
(search: mods).
•
Fraud prevention. General contractors often run into
premium fraud issues with subcontractors. We can
help ensure that subcontractor documents, such
as certificates of insurance and workers’ comp
exemptions, are valid. We can also educate you on
how to verify employee documentation, such as
Social Security numbers.
•
Audit preparation. Before the annual audit, our
auditors are available to answer your questions, to set
up paperwork and to prepare records so everything
runs as smoothly as possible.
Give us a call
Our auditors are always available to assist you in any
way we can. So call us. We want to help make a difference,
and you may be surprised at how valuable that difference
can be. ■
www.summitholdings.com
❶
A Message from Carol Sipe, Summit president and CEO
Working together to do the right thing
Doing the right thing is a message
you’ve probably heard from Summit
before—because we believe in it.
It characterizes the way our people
operate on a daily basis.
program for injured employees or just work with your
auditor once a year to get the numbers right.
In return, you can rest easy knowing that you won’t go it
alone when it comes to workers’ comp. Our hundreds of
staff members can help you set up a safety program, get
your return-to-work plan going and provide you with the
resources and answers you need.
At Summit, we believe that successfully creating an atmosphere of
Carol Sipe
Summit President and
doing the right thing lies in great
CEO
partnerships. In other words, for us
to operate at the level of integrity we strive for, we need
your help. That could mean asking you to implement
safety protocols in your workplace, create a return-to-work
So, let’s work together to do the right thing. And let us help
you with any questions or concerns you have about your
workers’ compensation insurance. ■
Things You Should Know about Premium Audit
How to prepare for an audit
Premium audit fraud can cost us all
Here are some of the documents
your auditor will need for the
policy period being audited.
Additional records, including
bank statements, may also
be needed for your auditor
to accurately determine your
payroll.
• State unemployment quarterly payroll tax reports,
including 941s
• Cash disbursements journal
• General ledger (posted to date)
• Certificates of Insurance (if subcontractors were
used)
New audit cancellation procedure
When businesses don’t comply with audit requests,
eventually their policies can be cancelled. Most states and
NCCI consider two attempts to be reasonable before an
audit is closed as unworkable. Please note that beginning
December 2013, Summit will begin the cancellation process
after three failed attempts to perform a final policy audit.
For a cancellation audit, we will begin the litigation process
after two failed attempts.
Workers’ Comp
Premium Audit FAQs
Q: What is a workers’ compensation insurance premium audit?
company’s payroll for the period during which your insurance carrier provided workers’ compensation coverage.
A: A premium audit is a verification of your Active account final audits
After two unsuccessful attempts to schedule an audit
appointment, or after two requests have been made for
mail audit records, a third and final letter will be mailed.
The business will have 30 days to complete the audit, or the
account will be set for cancellation. If the business complies
with the 30-day cancellation period the account may be
reinstated.
Q: Why are audits performed?
A: Your policy contract, and some state workers’ compensation laws, require audits. The audit allows both you and your insurance carrier to be certain that your workers’ compensation coverage has been properly and fairly billed.
If, however, the business does not complete the audit, the
account may be turned over to litigation. Depending on
the state, the business may be responsible for up to three
times the estimated premium, attorney fees and any other
applicable charges.
Q: When are audits performed?
A: Yearly audits are performed at the end of Cancelled account audits
Q: Who will perform the audit?
A: There are two types of audits: mail and
After one attempt to audit the account, either in person or
by mail, we will mail a final letter to the business. If 30 days
pass, and the business has not complied, we will turn the
account over to litigation.
If you have questions about preparing for an audit, give
us a call. Or visit our website at www.summitholdings.com
and check out the Premium Audit section of the Employer
Resources. ■
each policy period. Cancellation audits are performed as soon as possible after
a workers’ compensation policy is terminated.
physical. If your account qualifies for a mail audit, we will request your records via U.S. Mail. Otherwise, an auditor will schedule a time to meet with you in person.
Also, be sure to provide the following
information for the audit period:
• Overtime—If you paid overtime
to your employees, your
records must show the
overtime pay separately by
employee. Be sure to also
summarize the overtime
pay by classification code.
• Split of classification—
If an employee’s
classification code can be
split, you must have the
employee’s time separated by
the hour. It cannot be separated
by percentage of time worked.
Did you know that
employers who do not
pay for state-mandated
workers’ compensation
insurance, or pay less
than they should, are
committing fraud?
This can include
underreporting
payroll, intentionally
misclassifying workers, paying workers cash “under the
table” or calling employees subcontractors.
Whenever and however it happens, insurance fraud costs
everyone. The Coalition Against Insurance Fraud estimates
that nearly $80 billion in fraudulent claims are made
annually in the U.S.* Industry wide, this can
translate to higher premiums for employers
and then higher product prices for your
business. That, of course, can result
in fewer sales and lower employee
salaries. Nobody wins.
Did you
know?
When a Summit auditor
finds that we owe money to
a business, we may pay
back up to four years’ worth
of overpaid premium to
that business.
• Subcontractors and contract labor—
If you use subcontractors or contract labor,
please have all certificates of insurance and
payroll records available for the audit. If you are
unable to provide evidence of insurance, you
must pay the workers’ compensation premium
for that uninsured labor. Also remember that
paying workers by 1099 does not necessarily make
them an independent contractor, and you may be
subject to paying premiums on them. If you aren’t
sure of your state’s statutes regarding coverage of
subcontractors, please give
us a call. ■
One of the goals of a premium
audit is to identify any fraudulent
activity. But, rest assured, we know
that most errors are simply honest
mistakes, and we’re quick to give
the benefit of the doubt unless
there is clear evidence of deceit. In
those clear cases, however, we owe it
to everyone to pursue legal action.
Take a look below at some warning signs
of premium fraud. If you suspect abuse of the
workers’ comp system, you can call Summit at 1-800-762-7811,
and we’ll check it out. ■
Premium fraud warning signs
• Certificate of insurance (COI) with inaccurate data
• Cross-outs, white-outs or erasures on documents
• Number of employees, classifications and payroll
are inconsistent
*Source: http://www.insurancefraud.org/the-impact-of-insurance-fraud.
htm#.UnEi2RAZEUM
www.summitholdings.com
www.summitholdings.com
❷
❸
Open for Business is now OFB-EZ
Did you know
that when disaster
strikes—be it a fire,
flood, tornado or even
a hurricane—one in
four businesses never
reopens?
That’s why Summit
is proud to offer you
OFB-EZ™ (formerly
Open for Business), a web-based recovery tool
developed by the Insurance Institute for Business and
Home Safety (IBHS). The new OFB-EZ online tool will
serve your needs even better than Open for Business,
with modern technology and the latest best practices for
business continuity planning. OFB-EZ helps you create
detailed plans that will allow you to recover essential
business functions and remain in operation following a
disaster. There is never any cost to you for using OFBEZ. To get started, simply visit www.disastersafety.org/
open-for-business/.
Note: If you already have an Open for Business account, your
saved information can be downloaded by logging in to your current
account through the end of 2013. You will need to create a new
account in 2014. If you do not download your current account data
by December 31, 2013, please contact Gail Moraton of IBH-S at
[email protected] to request your data. ■
The Globally Harmonized System
The Globally Harmonized System (GHS) is a set of
guidelines for ensuring the safe production, transport,
handling, use and disposal of hazardous materials.
The goal is to make workplaces safe for employees
exposed to chemicals hazards and to make the
international sale an transport of these chemicals
easier.
The U.S. officially adopted the GHS on March 26,
2012, and the first deadline was December 1, 2013,
for employers to have trained their employees on
the new label elements and safety data sheet (SDS)
format.
If you need any additional information or training,
please contact your Summit loss control consultant.
For more information on the GHS including phase-in
dates, visit www.osha.gov, or call your Summit Loss
Control representative. ■
A Message from Carol Sipe, Summit president and CEO
Working together to do the right thing
Doing the right thing is a message
you’ve probably heard from Summit
before—because we believe in it.
It characterizes the way our people
operate on a daily basis.
program for injured employees or just work with your
auditor once a year to get the numbers right.
In return, you can rest easy knowing that you won’t go it
alone when it comes to workers’ comp. Our hundreds of
staff members can help you set up a safety program, get
your return-to-work plan going and provide you with the
resources and answers you need.
At Summit, we believe that successfully creating an atmosphere of
Carol Sipe
Summit President and
doing the right thing lies in great
CEO
partnerships. In other words, for us
to operate at the level of integrity we strive for, we need
your help. That could mean asking you to implement
safety protocols in your workplace, create a return-to-work
So, let’s work together to do the right thing. And let us help
you with any questions or concerns you have about your
workers’ compensation insurance. ■
Things You Should Know about Premium Audit
How to prepare for an audit
Premium audit fraud can cost us all
Here are some of the documents
your auditor will need for the
policy period being audited.
Additional records, including
bank statements, may also
be needed for your auditor
to accurately determine your
payroll.
• State unemployment quarterly payroll tax reports,
including 941s
• Cash disbursements journal
• General ledger (posted to date)
• Certificates of Insurance (if subcontractors were
used)
New audit cancellation procedure
When businesses don’t comply with audit requests,
eventually their policies can be cancelled. Most states and
NCCI consider two attempts to be reasonable before an
audit is closed as unworkable. Please note that beginning
December 2013, Summit will begin the cancellation process
after three failed attempts to perform a final policy audit.
For a cancellation audit, we will begin the litigation process
after two failed attempts.
Workers’ Comp
Premium Audit FAQs
Q: What is a workers’ compensation insurance premium audit?
company’s payroll for the period during which your insurance carrier provided workers’ compensation coverage.
A: A premium audit is a verification of your Active account final audits
After two unsuccessful attempts to schedule an audit
appointment, or after two requests have been made for
mail audit records, a third and final letter will be mailed.
The business will have 30 days to complete the audit, or the
account will be set for cancellation. If the business complies
with the 30-day cancellation period the account may be
reinstated.
Q: Why are audits performed?
A: Your policy contract, and some state workers’ compensation laws, require audits. The audit allows both you and your insurance carrier to be certain that your workers’ compensation coverage has been properly and fairly billed.
If, however, the business does not complete the audit, the
account may be turned over to litigation. Depending on
the state, the business may be responsible for up to three
times the estimated premium, attorney fees and any other
applicable charges.
Q: When are audits performed?
A: Yearly audits are performed at the end of Cancelled account audits
Q: Who will perform the audit?
A: There are two types of audits: mail and
After one attempt to audit the account, either in person or
by mail, we will mail a final letter to the business. If 30 days
pass, and the business has not complied, we will turn the
account over to litigation.
If you have questions about preparing for an audit, give
us a call. Or visit our website at www.summitholdings.com
and check out the Premium Audit section of the Employer
Resources. ■
each policy period. Cancellation audits are performed as soon as possible after
a workers’ compensation policy is terminated.
physical. If your account qualifies for a mail audit, we will request your records via U.S. Mail. Otherwise, an auditor will schedule a time to meet with you in person.
Also, be sure to provide the following
information for the audit period:
• Overtime—If you paid overtime
to your employees, your
records must show the
overtime pay separately by
employee. Be sure to also
summarize the overtime
pay by classification code.
• Split of classification—
If an employee’s
classification code can be
split, you must have the
employee’s time separated by
the hour. It cannot be separated
by percentage of time worked.
Did you know that
employers who do not
pay for state-mandated
workers’ compensation
insurance, or pay less
than they should, are
committing fraud?
This can include
underreporting
payroll, intentionally
misclassifying workers, paying workers cash “under the
table” or calling employees subcontractors.
Whenever and however it happens, insurance fraud costs
everyone. The Coalition Against Insurance Fraud estimates
that nearly $80 billion in fraudulent claims are made
annually in the U.S.* Industry wide, this can
translate to higher premiums for employers
and then higher product prices for your
business. That, of course, can result
in fewer sales and lower employee
salaries. Nobody wins.
Did you
know?
When a Summit auditor
finds that we owe money to
a business, we may pay
back up to four years’ worth
of overpaid premium to
that business.
• Subcontractors and contract labor—
If you use subcontractors or contract labor,
please have all certificates of insurance and
payroll records available for the audit. If you are
unable to provide evidence of insurance, you
must pay the workers’ compensation premium
for that uninsured labor. Also remember that
paying workers by 1099 does not necessarily make
them an independent contractor, and you may be
subject to paying premiums on them. If you aren’t
sure of your state’s statutes regarding coverage of
subcontractors, please give
us a call. ■
One of the goals of a premium
audit is to identify any fraudulent
activity. But, rest assured, we know
that most errors are simply honest
mistakes, and we’re quick to give
the benefit of the doubt unless
there is clear evidence of deceit. In
those clear cases, however, we owe it
to everyone to pursue legal action.
Take a look below at some warning signs
of premium fraud. If you suspect abuse of the
workers’ comp system, you can call Summit at 1-800-762-7811,
and we’ll check it out. ■
Premium fraud warning signs
• Certificate of insurance (COI) with inaccurate data
• Cross-outs, white-outs or erasures on documents
• Number of employees, classifications and payroll
are inconsistent
*Source: http://www.insurancefraud.org/the-impact-of-insurance-fraud.
htm#.UnEi2RAZEUM
www.summitholdings.com
www.summitholdings.com
❷
❸
Open for Business is now OFB-EZ
Did you know
that when disaster
strikes—be it a fire,
flood, tornado or even
a hurricane—one in
four businesses never
reopens?
That’s why Summit
is proud to offer you
OFB-EZ™ (formerly
Open for Business), a web-based recovery tool
developed by the Insurance Institute for Business and
Home Safety (IBHS). The new OFB-EZ online tool will
serve your needs even better than Open for Business,
with modern technology and the latest best practices for
business continuity planning. OFB-EZ helps you create
detailed plans that will allow you to recover essential
business functions and remain in operation following a
disaster. There is never any cost to you for using OFBEZ. To get started, simply visit www.disastersafety.org/
open-for-business/.
Note: If you already have an Open for Business account, your
saved information can be downloaded by logging in to your current
account through the end of 2013. You will need to create a new
account in 2014. If you do not download your current account data
by December 31, 2013, please contact Gail Moraton of IBH-S at
[email protected] to request your data. ■
The Globally Harmonized System
The Globally Harmonized System (GHS) is a set of
guidelines for ensuring the safe production, transport,
handling, use and disposal of hazardous materials.
The goal is to make workplaces safe for employees
exposed to chemicals hazards and to make the
international sale an transport of these chemicals
easier.
The U.S. officially adopted the GHS on March 26,
2012, and the first deadline was December 1, 2013,
for employers to have trained their employees on
the new label elements and safety data sheet (SDS)
format.
If you need any additional information or training,
please contact your Summit loss control consultant.
For more information on the GHS including phase-in
dates, visit www.osha.gov, or call your Summit Loss
Control representative. ■
A Message from Carol Sipe, Summit president and CEO
Working together to do the right thing
Doing the right thing is a message
you’ve probably heard from Summit
before—because we believe in it.
It characterizes the way our people
operate on a daily basis.
program for injured employees or just work with your
auditor once a year to get the numbers right.
In return, you can rest easy knowing that you won’t go it
alone when it comes to workers’ comp. Our hundreds of
staff members can help you set up a safety program, get
your return-to-work plan going and provide you with the
resources and answers you need.
At Summit, we believe that successfully creating an atmosphere of
Carol Sipe
Summit President and
doing the right thing lies in great
CEO
partnerships. In other words, for us
to operate at the level of integrity we strive for, we need
your help. That could mean asking you to implement
safety protocols in your workplace, create a return-to-work
So, let’s work together to do the right thing. And let us help
you with any questions or concerns you have about your
workers’ compensation insurance. ■
Things You Should Know about Premium Audit
How to prepare for an audit
Premium audit fraud can cost us all
Here are some of the documents
your auditor will need for the
policy period being audited.
Additional records, including
bank statements, may also
be needed for your auditor
to accurately determine your
payroll.
• State unemployment quarterly payroll tax reports,
including 941s
• Cash disbursements journal
• General ledger (posted to date)
• Certificates of Insurance (if subcontractors were
used)
New audit cancellation procedure
When businesses don’t comply with audit requests,
eventually their policies can be cancelled. Most states and
NCCI consider two attempts to be reasonable before an
audit is closed as unworkable. Please note that beginning
December 2013, Summit will begin the cancellation process
after three failed attempts to perform a final policy audit.
For a cancellation audit, we will begin the litigation process
after two failed attempts.
Workers’ Comp
Premium Audit FAQs
Q: What is a workers’ compensation insurance premium audit?
company’s payroll for the period during which your insurance carrier provided workers’ compensation coverage.
A: A premium audit is a verification of your Active account final audits
After two unsuccessful attempts to schedule an audit
appointment, or after two requests have been made for
mail audit records, a third and final letter will be mailed.
The business will have 30 days to complete the audit, or the
account will be set for cancellation. If the business complies
with the 30-day cancellation period the account may be
reinstated.
Q: Why are audits performed?
A: Your policy contract, and some state workers’ compensation laws, require audits. The audit allows both you and your insurance carrier to be certain that your workers’ compensation coverage has been properly and fairly billed.
If, however, the business does not complete the audit, the
account may be turned over to litigation. Depending on
the state, the business may be responsible for up to three
times the estimated premium, attorney fees and any other
applicable charges.
Q: When are audits performed?
A: Yearly audits are performed at the end of Cancelled account audits
Q: Who will perform the audit?
A: There are two types of audits: mail and
After one attempt to audit the account, either in person or
by mail, we will mail a final letter to the business. If 30 days
pass, and the business has not complied, we will turn the
account over to litigation.
If you have questions about preparing for an audit, give
us a call. Or visit our website at www.summitholdings.com
and check out the Premium Audit section of the Employer
Resources. ■
each policy period. Cancellation audits are performed as soon as possible after
a workers’ compensation policy is terminated.
physical. If your account qualifies for a mail audit, we will request your records via U.S. Mail. Otherwise, an auditor will schedule a time to meet with you in person.
Also, be sure to provide the following
information for the audit period:
• Overtime—If you paid overtime
to your employees, your
records must show the
overtime pay separately by
employee. Be sure to also
summarize the overtime
pay by classification code.
• Split of classification—
If an employee’s
classification code can be
split, you must have the
employee’s time separated by
the hour. It cannot be separated
by percentage of time worked.
Did you know that
employers who do not
pay for state-mandated
workers’ compensation
insurance, or pay less
than they should, are
committing fraud?
This can include
underreporting
payroll, intentionally
misclassifying workers, paying workers cash “under the
table” or calling employees subcontractors.
Whenever and however it happens, insurance fraud costs
everyone. The Coalition Against Insurance Fraud estimates
that nearly $80 billion in fraudulent claims are made
annually in the U.S.* Industry wide, this can
translate to higher premiums for employers
and then higher product prices for your
business. That, of course, can result
in fewer sales and lower employee
salaries. Nobody wins.
Did you
know?
When a Summit auditor
finds that we owe money to
a business, we may pay
back up to four years’ worth
of overpaid premium to
that business.
• Subcontractors and contract labor—
If you use subcontractors or contract labor,
please have all certificates of insurance and
payroll records available for the audit. If you are
unable to provide evidence of insurance, you
must pay the workers’ compensation premium
for that uninsured labor. Also remember that
paying workers by 1099 does not necessarily make
them an independent contractor, and you may be
subject to paying premiums on them. If you aren’t
sure of your state’s statutes regarding coverage of
subcontractors, please give
us a call. ■
One of the goals of a premium
audit is to identify any fraudulent
activity. But, rest assured, we know
that most errors are simply honest
mistakes, and we’re quick to give
the benefit of the doubt unless
there is clear evidence of deceit. In
those clear cases, however, we owe it
to everyone to pursue legal action.
Take a look below at some warning signs
of premium fraud. If you suspect abuse of the
workers’ comp system, you can call Summit at 1-800-762-7811,
and we’ll check it out. ■
Premium fraud warning signs
• Certificate of insurance (COI) with inaccurate data
• Cross-outs, white-outs or erasures on documents
• Number of employees, classifications and payroll
are inconsistent
*Source: http://www.insurancefraud.org/the-impact-of-insurance-fraud.
htm#.UnEi2RAZEUM
www.summitholdings.com
www.summitholdings.com
❷
❸
Open for Business is now OFB-EZ
Did you know
that when disaster
strikes—be it a fire,
flood, tornado or even
a hurricane—one in
four businesses never
reopens?
That’s why Summit
is proud to offer you
OFB-EZ™ (formerly
Open for Business), a web-based recovery tool
developed by the Insurance Institute for Business and
Home Safety (IBHS). The new OFB-EZ online tool will
serve your needs even better than Open for Business,
with modern technology and the latest best practices for
business continuity planning. OFB-EZ helps you create
detailed plans that will allow you to recover essential
business functions and remain in operation following a
disaster. There is never any cost to you for using OFBEZ. To get started, simply visit www.disastersafety.org/
open-for-business/.
Note: If you already have an Open for Business account, your
saved information can be downloaded by logging in to your current
account through the end of 2013. You will need to create a new
account in 2014. If you do not download your current account data
by December 31, 2013, please contact Gail Moraton of IBH-S at
[email protected] to request your data. ■
The Globally Harmonized System
The Globally Harmonized System (GHS) is a set of
guidelines for ensuring the safe production, transport,
handling, use and disposal of hazardous materials.
The goal is to make workplaces safe for employees
exposed to chemicals hazards and to make the
international sale an transport of these chemicals
easier.
The U.S. officially adopted the GHS on March 26,
2012, and the first deadline was December 1, 2013,
for employers to have trained their employees on
the new label elements and safety data sheet (SDS)
format.
If you need any additional information or training,
please contact your Summit loss control consultant.
For more information on the GHS including phase-in
dates, visit www.osha.gov, or call your Summit Loss
Control representative. ■
Florida Transportation Builders
Safety Award Winners announced
in Orlando
Congratulations are in order
for Florida construction
companies that have
received one of their
industry’s most soughtafter awards–the Florida
Transportation Builders’
Association Safety Award.
In order to qualify,
businesses must have more
than 500,000 man-hours
without a lost-time accident.
You may recognize two of these companies in particular;
we have highlighted Tampa Tank and Tucker Paving for
their outstanding safety programs in a previous issue of
the COMPpress and our Back2work marketing materials,
respectively.
For more than 75 years, the Florida Transportation
Builders’ Association has consisted of individuals and
businesses actively engaged in the construction of
transportation systems or in the furnishing materials,
equipment or services for such construction. The 2013
safety awards were presented during the August 9, 2013,
awards breakfast at the FTBA Annual Convention in
Orlando. ■
Congratulations to the following
Summit clients!
Conalvias USA, LLC
Hardrives, Inc.
Parsons Services
What Can Summit Do for You?
How to Reach Us
Customer Service
Summit offers a variety of services and programs aimed at
controlling your workers’ compensation costs and making
the most of your premium dollars. Here’s a sampling of
some of the tools we have available at no additional cost
to you.


1-800-282-7648
Report a Workplace Injury
Fall/Winter 2013
24 hours a day, 7 days a week by—
 Calling 1-800-762-7811,
 Faxing your report to 863-667-1871 or
 Visiting our website at
www.summitholdings.com (login required)
Online Business Center, where you can—
• Check claims activity
• Print and download loss runs
• Print certificates of insurance (COIs) or waivers
• Find a doctor in our workers’ comp network
Audit isn’t a four-letter word
Florida/Corporate Office
1-800-282-7648 • 863-665-6060
Back2Work®, Summit’s return-to-work program gives you the tools you need to create a plan for your business.
Southeast Region
Georgia, Kentucky, North Carolina,
South Carolina, Tennessee
1-800-971-2667 • 678-450-5825

Open
for Business. Create and save your own
detailed plan for disaster recovery online—it’s free!
provider network,* consisting of more
than 16,000 doctors and specialists experienced in
occupational medicine and workers’ compensation.

Specialized
Arkansas, Alabama,
Louisiana, Mississippi, Texas
1-800-421-2944 • 225-926-3264
Tailored loss-control services,** including—
• Safety consultations
• Drug-free workplace assistance
• Safety education, training materials, classes
and webinars
First, our staff specializes in workers’
comp audits. Most third-party auditors
deal with many different types of business
audits. Using in-house auditors who are
strictly focused on workers’ comp usually means more
accurate audits. Second, in most cases, you will be assigned
the same auditor, year after year. That means your auditor
gets to know your business—saving you the time and
hassle of reeducating a new auditor on the fundamentals
of your business each year.
Classification accuracy matters
www.summitholdings.com
Correctly identifying your NCCI class codes is one of the
primary goals of an audit.
Beyond the audit
In addition to your annual audit, our team is available to
assist you in a variety of ways throughout the year (upon
request). Take a look below to be sure you are taking full
advantage of these services.
• Classification review. Our team is available prior to the underwriting application and at midyear to offer classification expertise.
 In one recent audit case, the employer, who was less

For more
information, tips on workers’ comp and
frequently asked questions, visit our website at
www.summitholdings.com.
Summit Manages
BusinessFirst Insurance Company
RetailFirst Insurance Company
* Proprietary network in Alabama, Florida, Georgia, Kentucky,
Louisiana, Mississippi, North Carolina, South Carolina and
Tennessee. In Arkansas and Texas, Summit uses contracted
networks that offer our clients benefits comparable to our proprietary
arrangement.
than eager to complete the audit, ended up saving more than $19,000 in premium because our auditor caught a classification error.
 An audit of a recycling company resulted in Retailers Casualty Insurance Company
Bridgefield Casualty Insurance Company
Bridgefield Employers Insurance Company
$100,000 credit to a client when our auditor realized
the company had changed some business practices
and, therefore, its employee classifications.
Not only can classification have a major impact on your
premium, it can make all the difference in your company’s
experience modification factor, or mod.
** RetailFirst Insurance Company, BusinessFirst Insurance Company,
Bridgefield Employers Insurance Company, Bridgefield Casualty
Insurance Company and Retailers Casualty Insurance Company
provide policyholders with accident prevention services at no additional
cost.
Tampa Tank Inc.
Tucker Paving, Inc.
Westwind Contracting, Inc.
Summit Consulting LLC has used its best efforts to select
information for this publication from reliable sources, but cannot
warrant that it is complete or accurate. Summit Consulting LLC
does not assume and hereby disclaims any liability to any person
for loss or damages caused by error or omission. Please check
with your agent or attorney for details about the laws as they
may affect your specific business situation.
For a list of sources related to the information
contained in this newsletter, please visit our
website: www.summitholdings.com
www.summitholdings.com
❹
© 2013 Summit Consulting LLC
Turtle Southeast, Inc.
12/13 (13-149)
We use our own in-house auditing
team for nearly 90 percent of the audits
we complete, compared to an industry
average of roughly 50 percent. So how
does this benefit you?
Not buying it? See below for a couple of our real audit
cases that resulted in five- to six-figure corrections—in
favor of the insured business. Be sure to keep reading to
find out how our audit team can help your company, too.
Southwest Region

Our people make the difference
If you’re like most people,
“audit” is a word that sets your
heart pounding—and not with
excitement. Here at Summit, our
audit team works hard to dispel
that negative perception. Believe
it or not, an audit can often have a
positive impact on the long-term
financial health of your company,
even if you end up owing money.
For example, if a business misclassifies a carpenter
(who occasionally answers the phone) as a secretary, the
expected claim potential is very low because secretaries
aren’t expected to have many accidents. Carpenters, on
the other hand, have a higher chance of sustaining an
occasional injury. If this carpenter has an accident while
misclassified, the mod could take a much more significant
hit compared to the same accident for a carpenter who was
correctly classified. For more information about mods and
how they impact your premium, please visit our website
(search: mods).
•
Fraud prevention. General contractors often run into
premium fraud issues with subcontractors. We can
help ensure that subcontractor documents, such
as certificates of insurance and workers’ comp
exemptions, are valid. We can also educate you on
how to verify employee documentation, such as
Social Security numbers.
•
Audit preparation. Before the annual audit, our
auditors are available to answer your questions, to set
up paperwork and to prepare records so everything
runs as smoothly as possible.
Give us a call
Our auditors are always available to assist you in any
way we can. So call us. We want to help make a difference,
and you may be surprised at how valuable that difference
can be. ■
www.summitholdings.com
❶
Florida Transportation Builders
Safety Award Winners announced
in Orlando
Congratulations are in order
for Florida construction
companies that have
received one of their
industry’s most soughtafter awards–the Florida
Transportation Builders’
Association Safety Award.
In order to qualify,
businesses must have more
than 500,000 man-hours
without a lost-time accident.
You may recognize two of these companies in particular;
we have highlighted Tampa Tank and Tucker Paving for
their outstanding safety programs in a previous issue of
the COMPpress and our Back2work marketing materials,
respectively.
For more than 75 years, the Florida Transportation
Builders’ Association has consisted of individuals and
businesses actively engaged in the construction of
transportation systems or in the furnishing materials,
equipment or services for such construction. The 2013
safety awards were presented during the August 9, 2013,
awards breakfast at the FTBA Annual Convention in
Orlando. ■
Congratulations to the following
Summit clients!
Conalvias USA, LLC
Hardrives, Inc.
Parsons Services
What Can Summit Do for You?
How to Reach Us
Customer Service
Summit offers a variety of services and programs aimed at
controlling your workers’ compensation costs and making
the most of your premium dollars. Here’s a sampling of
some of the tools we have available at no additional cost
to you.


1-800-282-7648
Report a Workplace Injury
Fall/Winter 2013
24 hours a day, 7 days a week by—
 Calling 1-800-762-7811,
 Faxing your report to 863-667-1871 or
 Visiting our website at
www.summitholdings.com (login required)
Online Business Center, where you can—
• Check claims activity
• Print and download loss runs
• Print certificates of insurance (COIs) or waivers
• Find a doctor in our workers’ comp network
Audit isn’t a four-letter word
Florida/Corporate Office
1-800-282-7648 • 863-665-6060
Back2Work®, Summit’s return-to-work program gives you the tools you need to create a plan for your business.
Southeast Region
Georgia, Kentucky, North Carolina,
South Carolina, Tennessee
1-800-971-2667 • 678-450-5825

Open
for Business. Create and save your own
detailed plan for disaster recovery online—it’s free!
provider network,* consisting of more
than 16,000 doctors and specialists experienced in
occupational medicine and workers’ compensation.

Specialized
Arkansas, Alabama,
Louisiana, Mississippi, Texas
1-800-421-2944 • 225-926-3264
Tailored loss-control services,** including—
• Safety consultations
• Drug-free workplace assistance
• Safety education, training materials, classes
and webinars
First, our staff specializes in workers’
comp audits. Most third-party auditors
deal with many different types of business
audits. Using in-house auditors who are
strictly focused on workers’ comp usually means more
accurate audits. Second, in most cases, you will be assigned
the same auditor, year after year. That means your auditor
gets to know your business—saving you the time and
hassle of reeducating a new auditor on the fundamentals
of your business each year.
Classification accuracy matters
www.summitholdings.com
Correctly identifying your NCCI class codes is one of the
primary goals of an audit.
Beyond the audit
In addition to your annual audit, our team is available to
assist you in a variety of ways throughout the year (upon
request). Take a look below to be sure you are taking full
advantage of these services.
• Classification review. Our team is available prior to the underwriting application and at midyear to offer classification expertise.
 In one recent audit case, the employer, who was less

For more
information, tips on workers’ comp and
frequently asked questions, visit our website at
www.summitholdings.com.
Summit Manages
BusinessFirst Insurance Company
RetailFirst Insurance Company
* Proprietary network in Alabama, Florida, Georgia, Kentucky,
Louisiana, Mississippi, North Carolina, South Carolina and
Tennessee. In Arkansas and Texas, Summit uses contracted
networks that offer our clients benefits comparable to our proprietary
arrangement.
than eager to complete the audit, ended up saving more than $19,000 in premium because our auditor caught a classification error.
 An audit of a recycling company resulted in Retailers Casualty Insurance Company
Bridgefield Casualty Insurance Company
Bridgefield Employers Insurance Company
$100,000 credit to a client when our auditor realized
the company had changed some business practices
and, therefore, its employee classifications.
Not only can classification have a major impact on your
premium, it can make all the difference in your company’s
experience modification factor, or mod.
** RetailFirst Insurance Company, BusinessFirst Insurance Company,
Bridgefield Employers Insurance Company, Bridgefield Casualty
Insurance Company and Retailers Casualty Insurance Company
provide policyholders with accident prevention services at no additional
cost.
Tampa Tank Inc.
Tucker Paving, Inc.
Westwind Contracting, Inc.
Summit Consulting LLC has used its best efforts to select
information for this publication from reliable sources, but cannot
warrant that it is complete or accurate. Summit Consulting LLC
does not assume and hereby disclaims any liability to any person
for loss or damages caused by error or omission. Please check
with your agent or attorney for details about the laws as they
may affect your specific business situation.
For a list of sources related to the information
contained in this newsletter, please visit our
website: www.summitholdings.com
www.summitholdings.com
❹
© 2013 Summit Consulting LLC
Turtle Southeast, Inc.
12/13 (13-149)
We use our own in-house auditing
team for nearly 90 percent of the audits
we complete, compared to an industry
average of roughly 50 percent. So how
does this benefit you?
Not buying it? See below for a couple of our real audit
cases that resulted in five- to six-figure corrections—in
favor of the insured business. Be sure to keep reading to
find out how our audit team can help your company, too.
Southwest Region

Our people make the difference
If you’re like most people,
“audit” is a word that sets your
heart pounding—and not with
excitement. Here at Summit, our
audit team works hard to dispel
that negative perception. Believe
it or not, an audit can often have a
positive impact on the long-term
financial health of your company,
even if you end up owing money.
For example, if a business misclassifies a carpenter
(who occasionally answers the phone) as a secretary, the
expected claim potential is very low because secretaries
aren’t expected to have many accidents. Carpenters, on
the other hand, have a higher chance of sustaining an
occasional injury. If this carpenter has an accident while
misclassified, the mod could take a much more significant
hit compared to the same accident for a carpenter who was
correctly classified. For more information about mods and
how they impact your premium, please visit our website
(search: mods).
•
Fraud prevention. General contractors often run into
premium fraud issues with subcontractors. We can
help ensure that subcontractor documents, such
as certificates of insurance and workers’ comp
exemptions, are valid. We can also educate you on
how to verify employee documentation, such as
Social Security numbers.
•
Audit preparation. Before the annual audit, our
auditors are available to answer your questions, to set
up paperwork and to prepare records so everything
runs as smoothly as possible.
Give us a call
Our auditors are always available to assist you in any
way we can. So call us. We want to help make a difference,
and you may be surprised at how valuable that difference
can be. ■
www.summitholdings.com
❶