The past few months have been an extremely tough time for everyone. Businesses have been shut down and had to furlough or layoff entire teams. Keeping up with all of the constantly changing information has been nearly impossible. And making sure that employees and customers are safe as businesses begin to open has become a job in itself. Hopefully, we are starting to see some light at the end of the tunnel.
As with everything else, the insurance industry has been making adjustments based on the situation that we’ve found ourselves in.
The Pennsylvania Compensation Rating Bureau (PCRB) has released the following guidelines with regards to your 2020 workers’ compensation policy in response to COVID-19:
- All employees working from home will be reclassified as clerical for the duration of the home work period as long as separate, accurate, verifiable records are maintained.
- Payroll to furloughed workers will be excluded from the premium calculation at audit.
- Any virus-related workers’ compensation claims will be classified as a catastrophe loss (catastrophe code 12) and will be excluded from the employer’s experience rating calculation.
The most important thing here is to make sure you are keeping detailed records. This will really benefit you at audit this year. Should you have any questions as your audits come up, please feel free to reach out to us and we’ll be happy to help you through the process.
As business owners and entrepreneurs, you have always stepped up to the challenge and created your own path. When looking back, this will hopefully just be a detour that makes you stronger and more prepared for success in the future.
I wish you all continued success in navigating through this challenge.
Call Risk Averse Insurance in Media, PA for any questions you may have about how COVID-19 has impacted your workers’ compensation coverage.
Risk Averse Insurance is an independent insurance agency in Delaware County that specializes in providing high-quality insurance products at an affordable price.