At this time, Gusto only supports Workers' Compensation policies through NEXT Insurance. If you have worker's compensation with a different provider, you'll need to manage it outside of the Gusto system.
If your workers' compensation is managed by our partner NEXT Insurance, there are certain functions you can manage through your Gusto account. Use the dropdowns below to learn more.
All information about your company's workers' compensation that Gusto has on file can be found by clicking the Taxes & compliance section and selecting the Stay compliant tab.
Adding a new employee with the same risk class code
When adding a new employee to Gusto, there will be a drop-down in the "Job Class Code" field where you can select the risk class code for this employee. The risk class codes available for selection are only for existing class codes on the policy.
Add a new employee with a different risk class code
In addition to any existing risk class codes on the policy, you can select "Something else" in the "Job Class Code" and NEXT Insurance will help determine the new job class code.
Does your employee have multiple pay rates? If so, you may be unsure which job category to select when you have a workers' compensation policy through Gusto. If your employee’s main job category falls under one of the following special risk class codes, they cannot have another risk class code selected. All job categories for that employee need to be assigned to that same code.
All states except for Delaware and Pennsylvania
Delaware and Pennsylvania
To make things easy, Gusto will prevent you from selecting multiple job categories if one of these special risk class codes are selected as the primary for your employee.
To remove a risk class code, contact us through the Help or Priority support section of your account.
If an employee has multiple risk class codes, you'll need to first assign them a job for each role/risk class code, and then edit the risk class code for each role using the instructions below.
Once you’ve done this, your policy sync is active again.
A workers’ compensation certificate of insurance serves as proof of your coverage. Below are a few options to get this certificate if your policy is through NEXT Insurance.
Reach out to NEXT Insurance directly at [email protected] or (866) 610-0063 with any questions specific to certificates or coverage.
When you sign up for workers' compensation with Gusto, premium amounts are submitted using the pay-as-you-go payment method.
The following timeline occurs when you run payroll:
Restrictions with inconsistent payroll
Pay-as-you-go workers' compensation requires consistent payroll. If you do not run at least one payroll per month, you run the risk of policy cancellation. If you anticipate a time period greater than 4 weeks without payroll, contact NEXT Insurance at (866) 610-0063 to let them know. This will keep your policy intact and avoid having to repurchase insurance when this is needed in the future.
Q: Why is my premium $XX amount?
A: NEXT Insurance is responsible for calculating the premium amount based on the payroll information in your Gusto account. Any questions about the amount should be directed to NEXT Insurance.
Q: What is the Expense Constant?
A: States regulate the amount an insurance company can charge for the administrative cost of a policy. This charge is called an Expense Constant. It's generally the only flat dollar amount charged on the policy. The expense constant range is typically between $100 - $380 per policy based on the state and is built into your premium deductions.
Q: What happens if the debit for our premium deduction fails?
A: NEXT Insurance will automatically attempt to re-debit your account 48 hours later. If the second debit is unsuccessful, your policy will go into "pending cancellation" stage, and you'll have to ask NEXT Insurance to retry the debit one more time. If the issue is not resolved, the carrier will send a "pending cancellation" notice to your company via traditional mail.
Q: What sort of communication is sent out regarding billing?
A: Various communications are sent in regard to workers' comp billing:
NEXT Insurance created a composite rate that includes all charges to provide you with a pay-as-you-go billing method. By having a composite rate, this should prevent you from owing additional money at the end of your policy term since it has already incorporated the various fees and surcharges based on your payrolls.
Q: Why is my composite rate different from my manual rate?
A: Your composite rate may be higher or lower than your manual rate based on your circumstances. If you have a credit modification and hefty discounts, you will likely have a lower composite rate than your manual rate.
Q: Where can I learn about additional fees within my policy?
A: The various fees are outlined in your workers' compensation proposal provided by NEXT Insurance. If you received your quote and signed your workers' compensation forms within Gusto, this should be available in your Forms section.
If you can’t find this information, or if you did not go through the quoting process in Gusto, reach out to NEXT Insurance at [email protected] for these details.
If Gusto isn't managing your workers' compensation policy, you can set a notification in Gusto to remind you when your policy is up for renewal.
We’ll email you a notification prior to your policy expiration date as a reminder to renew. You'll also be given the option to set up another renewal reminder or add a workers' compensation policy through Gusto.
A workers’ comp audit can happen when a policy expires or is cancelled (both voluntarily or involuntarily). When the policy is audited, the carrier (e.g. Hartford, Travelers, etc.) will send a notice, either via email or mail, requesting specific documentation to confirm the actual payroll amounts run throughout the policy term.
Policy audits help determine:
Pay-as-you-go workers’ comp policies aim to reduce the likelihood of an audit by assessing the premium amounts based on actual payroll, but an audit of the policy is still possible.
If you've received a notification from your carrier asking you to complete an audit, Gusto can help you access related documents and reports in your account, but we cannot legally respond to the audit on your behalf or advise on how to complete the audit.
If you're a NEXT Insurance customer, you can reach out to [email protected] for additional guidance.
If you have questions about premiums, coverage, billing, audits etc. contact NEXT Insurance.
Phone: 1 (866) 610-0063, option 1
Email: [email protected]
If you need a certificate of insurance, request one via email at [email protected].
If you need to file a claim, or have any questions regarding claims, contact the carrier below.
The Hartford: 1 (800) 327-3636
Travelers: 1 (800) 238-6225
Guard: 1 (888) 639-2567
AmTrust: 1 (866) 272-9267
Employers: 1 (888) 682-6671
Markel FirstComp: 1 (888) 500-3344
CNA: 1 (877) 262-2727