Sample letter

How to dispute a premium audit bill

A carrier can change an audit bill when your records show a charge is wrong. Here's a sample letter to start from, what to send with it and the deadlines carriers publish.

Facts checked Nov 7, 2026 · Sources

A sample letter

Copy it, fill in the brackets and send it the way your carrier's bill or audit page says, before its deadline.

To your carrier

[Your company][Your address]

[Date]

To: [Auditor's name]
[Carrier], Premium Audit

Re: Premium audit bill of [Bill date], workers' comp policy [Policy number], [Start date] to [End date]

Dear [Auditor's name],

Thank you for the audit bill of [Bill date]. We disagree with the charges below and ask you to review them.

[Sub's name]: [Amount] counted. Their certificate shows their own workers' comp policy for the dates we paid them. A copy is enclosed.

[Another sub's name]: [Amount] counted. We paid them [Amount paid] in the policy period.

Please send us a corrected bill, or tell us what else you need to review these charges.

Sincerely,
[Your name]
[Your title]
[Your company]

Enclosed: certificate of insurance for [Sub's name], and our payment records for [Another sub's name]

Step by step

Each carrier sets its own steps, and most describe them on their audit pages. In order:

Ask for the auditor's worksheets, so you can see how each charge was figured. KEMI asks its policyholders to start there.
Find your carrier's deadline, on the bill or on its audit page. The table below has five.
Put each charge you disagree with in writing, with your reason and your proof: the certificate of a sub that had its own coverage, a supplier's invoices, or what you actually paid.
Pay the part you don't dispute on time.
If the carrier keeps the charge, ask your state's insurance department or its workers' comp rating bureau where the dispute goes next.

To see why an audit charges you for subs at all, read how a premium audit charges you for subs.

What carriers' own pages say

Deadlines and steps differ from carrier to carrier. These five publish theirs:

Carrier or fundDeadlineWhat to send

Beacon Mutual, Rhode Island 30 days A letter signed by a principal of the company, by mail or fax, with your documents. Past 30 days, the chance to dispute is lost.

Chesapeake Employers, Maryland 30 days from the audit invoice Its dispute form, with the documents it lists, such as subs' certificates and subcontracts. If they don't arrive in time, it takes the audit as agreed.

KEMI, Kentucky As soon as possible Ask for the audit worksheets, then send its Premium Audit Revision Request form.

Pennsylvania's State Workers' Insurance Fund 30 days from the audit bill A letter that names the specific issues.

Oregon, for any insurer 60 days for a formal dispute Start with your insurer. The state's Small Business Ombudsman for Workers' Compensation can help, and can start the formal dispute with you.

Carriers change their steps, so check your carrier's current page or your bill. Each source is under Sources below.

An example

Larch Bend Builders' audit bill of December 8 counted $163,500 paid to three companies as if they were its own crew. Aldaco Drywall, counted at $94,700, had its own workers' comp when Larch Bend paid it. Brekken Lumber Supply, at $27,600, sold materials only. Okafor Framing was counted at $41,200, but Larch Bend paid it $32,800 in the policy period.

Dana Whitfield's letter follows the sample above, with a line for each company. For Brekken, the line reads: "A supplier, not a subcontractor. We paid them for materials only." The letter asks for a corrected bill and encloses Aldaco's certificate and Larch Bend's payment records for Okafor.

Questions people ask

How long do I have to dispute a premium audit?

It depends on your carrier. Beacon Mutual, Chesapeake Employers and Pennsylvania's state fund give 30 days from the bill, and Oregon gives 60 days for a formal dispute. Your bill or your carrier's audit page names yours.

Do I still have to pay the bill?

Pay the part you don't dispute on time. LWCC expects payment on the part not disputed, and KEMI warns that a balance left unpaid while a dispute waits can get the policy canceled for nonpayment.

What should I send with the letter?

Whatever shows each charge is wrong: the certificate of each sub that had its own coverage, a supplier's invoices for materials, and your record of what you paid. Chesapeake Employers and KEMI have forms of their own that list what they need.

Who should sign it?

Someone who can speak for your company. Beacon Mutual asks for a letter signed by a principal of the company.

Can a sub's certificate still count after the audit?

Ask your carrier, since each decides for itself. Pennsylvania's state fund leaves out a sub's payments when a valid certificate is on file at the time of the audit. Send what you have with your letter, showing the sub's policy was in force on the dates they worked.

Is this letter legal advice?

No. It's a sample that states what your records show. Check your carrier's own steps and deadline before you send it.

Sources

Facts checked Nov 7, 2026. This page states facts, not insurance or legal advice. Found a mistake? Email hello@coverstamp.com, and see how we check facts.

Beacon Mutual: What if I disagree with the premium audit results? · 30 days; a letter signed by a principal
Chesapeake Employers: Premium audit dispute form · 30 days from the audit invoice; the documents it lists
KEMI: What if I don't agree with the audit results? · the audit worksheets first; a balance left unpaid risks cancellation
Pennsylvania State Workers' Insurance Fund: Audits, as of Sep 2024 · 30 days from the bill; in writing
Oregon Small Business Ombudsman for Workers' Compensation: Resolving premium disputes · 60 days for a formal dispute
LWCC: Workers' comp premium audit · payment expected on the part not disputed

Get in first

Coverstamp keeps track of your subs' certificates for you. It asks for each one, checks it against your requirements and follows up on what's missing. It opens in early 2027, and people on the list get in first.