Include all documentation related to the formation and operation of your business, sole proprietorship, limited liability company or corporation as applicable. Documents may include the articles of incorporation, corporate bylaws, business registration or business license, partnership agreements or LLC filings and operating agreement. Provide a list of all partners, owners, directors and board members in addition to their contact information and the relevant ownership percentage held by all entities.
Prepare a summary of the business operations such as the services that are provided by the business, what percentage of business operations could be considered foreign or domestic and the length of time business has been conducted. Create a list of all employees with their dates of employment, job titles and work responsibilities.
Create a payroll summary that corresponds to the audit period. You may be asked to adhere to specific requirements depending on the insurance auditor's preferences. Some auditors ask for copies of employee W-2 or contractor 1099 records, while others may prefer to see payroll ledgers or monthly or quarterly records generated by computerized accounting software.
If your business worked with independent contractors during the audit period, include copies of their insurance certificates in your audit documentation. A contractor conducting work at your place of business or on behalf of your company may be included as a liability on your policy if he is found to be uninsured during an insurance audit.
In addition to payroll records, prepare a copy of your company's financial records such as the total sales figures or invoices for the audit period. Include tax records such as quarterly 941 forms or other relevant tax records. Provide a list of all company assets such as land, buildings, inventory and company vehicles. Notate the current market value of each asset in addition to any methods that are currently in place to protect those assets such as a building alarm system, security cameras, fire protection and monitoring systems or security guard patrol.
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