What happens at a workers comp audit?
After the policy term, the insurer reviews actual payroll, job duties, states, and contractors. Your final premium can go up or down, so keep payroll records organized by classification throughout the year.
Can pilots, mechanics, and office staff be classified differently?
Yes. Flight, maintenance, line service, and office work are rated differently. Tracking payroll by job duty keeps office staff from being rated at pilot rates.
Are independent contractors excluded?
Not automatically. A contract or 1099 doesn't always decide it; state law and the actual work matter. Collect certificates of insurance from subcontractors, or their pay may be added to your audit.
Does my aircraft liability policy cover employee injuries?
Usually not. Employee injuries are typically excluded from aircraft liability policies. Workers comp is designed for work related injuries, including crew injured in an aircraft accident.
Is workers comp required for my aviation business?
It depends on your state, entity type, employee count, and job duties. Contracts and airport leases may require it even when the law doesn’t, so check every state where your employees work.