Fraud by Employer to Lower Rates

The most common forms of workers' compensation fraud by employers are:

• Under-reporting payroll. An employer reports that workers are paid less than they actually to lower their premiums.
  
• Inflating experience. An employer claims workers are more experienced than they actually are to make them seem less risky and therefore less expensive to cover.
  
• Evasion. An employer fails to obtain workers' compensation for their employees when it is required by law.