There are some businesses who prefer to simply outsource all of their major human resource needs to professional third party entities, and one common arrangement that's utilized here is the hiring of a PEO, or professional employer organization. PEOs can be used for a variety of different potential HR needs, and one area where they're known to be particularly effective is within the realm of workers' compensation insurance.
At Integrated Companies, we're here to provide numerous employer solutions to clients throughout Utah, including PEO services that are offered on an hourly basis - allowing you to only pay for what you actually need and save the rest of your budget for other areas. Why are PEOs so effective for workers' compensation insurance needs, and why might you consider these services for your business? Here's a rundown.
No More Need to Shop Around
One of the key benefits of PEO programs for workers' compensation insurance is the ability to for the PEO to place all its clients into a single "master" policy. This means that you don't have to shop around multiple different providers and negotiate rates, as that's all taken care of behind the scenes for you. It also frees up your time so you can focus on other aspects of your business - and in many cases, it can result in better coverage than what one could find on their own.
For many companies, the process of shopping around and comparing workers' compensation policies each year is a major time-sink. With the help of a PEO, this process is completely eliminated - and that frees up your time and manpower to tackle more important tasks.
Better Coverage at Lower Rates
In many cases, the PEO master policy will provide better coverage than you could find on your own. This is because it pools together the risk for all the PEO clients, allowing the risk to be spread out and giving them access to better policies at lower rates. In addition, because you're using a professional employer organization, you'll also have an expert team of professionals on your side who can manage all aspects of the policy and make sure that it meets your needs from start to finish.
Not only this, but as we noted above, PEO services are often offered on a pay-as-you-go basis. This means that you don't have to commit to paying for the entire policy up front, but instead can pay for a smaller portion as your needs dictate - helping you further reduce costs and fine-tune your budget.
At Integrated Companies, we understand what it takes to provide comprehensive PEO services to our clients. With customized solutions and pay-as-you-go options, we can help you tackle your workers' compensation insurance needs with ease and peace of mind. Contact us today to learn more.
No Down Payment Required
Lump sums are another common issue for businesses in the workers' compensation realm. Annual workers' compensation premiums can be exorbitantly high, and some companies simply can't afford lump-sum payments in order to secure coverage. With the help of a PEO such as Integrated Companies, however, you won't have to worry about making a down payment on your policy.
Instead, with PEOs, these costs are not typically required and you're free to pay the policy in smaller portions throughout the year. This can help tremendously with your budgeting needs, and it also provides additional peace of mind knowing that you don't have to make a large lump sum payment all at once.
No More Year-End Policy Audit
Another yearly event that many businesses and HR teams dread with regard to workers' compensation is their yearly policy audit. To obtain premium costs in traditional programs, it's necessary to complete a full audit of your payroll and other related data, which can be time-consuming and tedious. However, in PEO programs such as those offered at Integrated Companies, the policy is automatically adjusted based on changes that occur throughout the year - thus eliminating the need for a large year-end audit.
To get a bit more specific, PEOs collect workers' compensation charges based on actual payroll processed in each individual pay period. This helps to ensure that charges are always in line with actual payroll, and it also eliminates any potential surcharges or other additional fees that may be incurred at year's end.
Improving Risk Management
With standard workers' compensation approaches, a "reactive" theme is typically at play - that is, companies wait until something goes wrong before they take any sort of action. With PEOs, however, a more "proactive" focus is used - and this can make it much easier to identify and address any potential issues that may arise within the workplace.
For example, in most cases, PEOs will provide access to risk managers and other professionals who can help you identify any potential risks and address them before they become a major problem. This can go a long way in helping you stay compliant and mitigating any potential issues that may arise, ensuring that your business is doing everything it can to protect itself and its employees.
Overall, utilizing the services of a PEO for workers' compensation insurance can be a great way to save time and money while also improving your overall risk management strategy. Contact Integrated Companies today to learn how we can help you do just that for your Utah company, or to find out more about any of our human resources solutions.