As a small contractor, it's important
that I accurately predict my
expenses. I can do that now. But I
used to have one expense that was
about as predictable as the weather:
workers compensation.
Like many contractors, I get
audited every year by my insurance
carrier. The auditor used to go
through my books, prepare the
audit, have me sign it, and a few
weeks later I would be surprised
with a bill larger than anticipated.
Often the unexpected charges were
premiums charged against wages
paid to subcontractors whom I
couldn't show were insured, and so
who were considered by my insurer
to be risks under my policy. I tried
to learn the rules so that I'd know
how to