Frequently Asked Questions

 
What is The Leahy Company?
The Leahy Company is a licensed insurance consultant, not an agent or broker. Since 1974 we have specialized in the recovery of monies overcharged by insurance companies on workers’ compensation policies.

We accomplish this by analyzing current and prior policies in order to lower the Experience Rating Modification which directly impacts the premium. When appropriate, we also review the classification codes and payrolls used by the carrier.

 
What is an Experience Rating Modification and how is one calculated?
The Experience Rating Modification is an adjustment to the manual premium based upon prior years’ losses and payrolls compared with industry averages. The Experience Rating Modification will either increase or reduce an insured company’s workers’ compensation expense.

Experience Rating Modifications are calculated based upon a complex formula using years of historical data about your company, including prior years’ losses and payrolls. When the data contains errors, or the formula is improperly applied, the result is an incorrect Modification that could cost you money.

 
Will The Leahy Company try to sell me insurance?
No. The Leahy Company does not represent any insurance companies and is only interested in securing refunds of past and current premium overcharges. In addition, The Leahy Company will not try to replace your current insurance company, agent, or broker.
 
My insurance company just performed an audit; why do I need your services?
Insurance company auditors perform annual audits to determine and adjust your estimated premium, not to rectify potential errors.
 
We are very busy and do not have much time to contribute to this project. What is my level of involvement?
The only thing we require of you at the onset is to sign our Letter of Agreement and prepare five Letters of Authority – everything else is done by us, in our office. Your initial time commitment is typically 15 minutes in total. If we jointly conclude that a Final Audit Review is appropriate, we will need to visit your site but even this will take up less than an hour of your time.
 
What will my insurance company and agent/broker think?
It is normal to be worried about your relationship with your insurance providers. However, our involvement will not adversely affect that relationship. We have worked successfully with numerous agents/brokers to recover money. They understand that what is good for their clients is ultimately good for them and does not reflect upon their abilities in any way. Similarly, insurance companies can use our work to confirm their compliance with regulations and standards, and also to correct any errors that may have been made inadvertently.

Agents, brokers, and carriers rely on our analyses to reveal any mistakes or errors that may result in errant premiums.

 
What will your service cost me?
Our 50% fee is contingency based, so you only pay for results, not efforts or good intentions. You will have a refund, credit, or reduced premium in hand before any money is due to The Leahy Company. This offers you two strategic advantages:
  • It guarantees that you will pay for results, not just effort.
  • It demonstrates our confidence. After all, why pursue an account unless we are reasonably sure of success?
 
We already have an excellent Experience Rating Modification. What can this service do for me?
Excellent Experience Rating Modifications are not necessarily correct Experience Rating Modifications. The fact is that if your Rating is higher than it should be, you are paying too much premium. Since we work on a contingency-fee basis, you have nothing to lose.
 
How long will the Premium Recovery Service take?
Since we rely on carriers as well as rating boards, the time it takes to compile all the information fluctuates with each case, but typically it will take about 6-8 months. This is because we conduct an extensive examination of your previous experience and workers’ compensation records. We will continue to update you on the status of your file throughout the process.
 
How is your analysis done?
In order to review all of the variables that are used to determine your annual workers’ compensation premiums we will gather all of the documentation (loss runs, policies/audits, worksheets, etc…) directly from your insurance carrier(s) and the appropriate rating authority. We will then review these variables to identify any errors. If errors are found we will work with the appropriate parties to have them corrected. The result is the reduction of your current premium, a credit, or a refund check from the carrier(s), sent directly to you.
 
Why would my insurance company overcharge me?
Due to the complex nature of workers’ compensation insurance, it is common for errors to occur. For example, Experience Rating Modifications may be inaccurate or payrolls may be categorized incorrectly, which results in inflated premiums. The process of adjusting policies is costly and time-consuming for insurance carriers. Underwriters, adjusters, actuaries, clerks, data managers and legal departments must all work together in order for a policy to be error-free. With so many people involved, clerical and technical errors occur, which results in mistakes in your premium. In addition, various rating authorities (such as NCCI or your state rating board) add to the complexity with numerous regulations.
 
Do you operate in every state?
Yes.
 
 

 

 
 
 
What Our Clients Are Saying...
“Attached is the paperwork from our insurance company reflecting the $19,000 credit. This brings the total refunds achieved since 2005 to over $150,000, with still more to come.
We are truly impressed with your knowledge of workers’ compensation experience ratings and most importantly, with the results that you deliver. All we do is sign your Agreement, provide you with the authorization letters that you need, and sit back and wait for refunds to come in. If only everything were this easy.”

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