TrakPay for Insurance Carriers


Pay-as-you-go Workers Compensation software should solve problems, not create more problems. TrakPay is a dynamic, well thought out software which almost acts like your own personal Workers Compensation representative. Our intuitive programming fixes a long list of outstanding issues that other vendors have either not thought to address or they have older, legacy software systems which makes complicated changes to their software too difficult.

Below we highlight many of these features that TrakPay offers which leads to the most efficient, seamless, and accurate payroll reporting and billing experience for policyholders.

Private labeling. Insurance carriers can now private label TrakPay’s software to make it your own. Adjust multiple settings, including theme and logo, with full admin access. Additionally, we can build an integration with your system so that the most up-to-date state/class code combos are used on each policy to ensure accurate reporting.

Payroll service & broker plugin. When you start working with TrakPay, that means you now can offer your WC insurance to a plethora of payroll services and their respective clients. Further, we are insurance agent/broker friendly, so any insurance broker and any payroll service can utilize our software (except for the Paychex’s and ADP’s of the world) to connect with your insurance product, bringing you more business opportunity to gain profitable WC insurance clients.

Seamless registration and payroll reporting setup. Other vendors often get complaints that their registration process is cumbersome and slow which holds up the onboarding process and causes the 1st few payrolls to not be reported to the policyholder’s insurance carrier, or completely missed. TrakPay’s registration process is as simple as they come so that payroll starts getting reported right off the bat. Additionally, other vendors often have problems with initially entering owners during the registration process. Why? When the 1st payroll is reported by their payroll company, the owners from the payroll file don’t match up to the owners that were entered by the policyholder upon registration, and this causes confusion, errors, and manual corrections, which wastes time. TrakPay’s intuitive owner/employee matching logic allows for owners (and even employees) to be entered prior to payroll being received, and as long as the first and last name match, the employee ID and SSNs (if any) from the payroll file will correctly be applied to the existing owners/employees. This saves a tremendous amount of time and frustration as policyholders can ensure that the owners they setup originally, often with included or excluded designation rules, will be properly followed, and the owner’s wages from their payroll file won’t be duplicated and treated like another employee.

Hard-coded rules for included owner/officer payroll wage min/max caps per state guidelines. TrakPay just doesn’t display the included owner min/max rules by state/entity type, but actually uses hard-coded rules for included owners based off the policyholder’s state and the type of entity for their business (corporation, LLC, etc), so that whether or not the owner draws a payroll, TrakPay will calculate, based off your client’s payroll frequency, the correct amount of payroll wages so that the owner will either report to the carrier the minimum required payroll for the policy period, or the maximum allowable payroll for the policy period. And if an owner who is excluded from coverage does draw a payroll, TrakPay will not report their wages, and thus, no extra premium is paid by mistake.

Flexible schedule creation based on pay frequency & automated email notification system. Keeping on track when it comes to reporting payroll is vital to ensure that a policyholder’s WC insurance stays active. That is why TrakPay has a robust, flexible schedule that is created based on the policyholder’s pay frequency. If they have a short-term policy, the schedule is adjusted to not go past their renewal date. If multiple payrolls are reported that fall outside the scheduled check dates (which are based on the pay frequency) then these payrolls are separately accounted for in the schedule. If the pay frequency changes mid-policy term, the schedule can be adjusted to the new pay frequency. If there are multiple payrolls being processed for the same policy, TrakPay can handle it. All this flexibility solves many real-life problems without the need for re-registration or other tedious manual work to account for complex situations. Further, policyholders are reminded via email if they are behind schedule in reporting so that they don’t fall too far behind and risk their policy from being cancelled for non-pay. If the client only runs payroll seasonally, they can turn on seasonal mode so that you, their insurance carrier, will be notified, and you don’t inadvertently process a cancellation for non-payment during the off-season.

Intuitive class code assignment and endorsement automation. TrakPay is chock-full of extremely intuitive logic when payroll is reported so that each employee payroll is handled with the utmost efficiency. What do we mean? There are several things that can go wrong (and do go wrong with most other systems) when payroll is reported. Here is how TrakPay dynamically addresses, and fixes, these problems:

1. When an employee is first reported, if there is more than one class code on their policy for the state that they’re in, many other systems will default that employee to the highest rated class code (and this is common for some big name payroll services too). This means that the policyholder pays more in premium for misclassified employees (leading to a headache at audit) when this is easily avoidable. Instead of defaulting new employees to the highest rated class code, if there is more than one code for the state on the policy, TrakPay sends an email notification prompting the client to login and select the most appropriate class code for the new employee. Further, if an employee is reported in a state with only one class code on the policy, then TrakPay knows that there can only be one code assigned to that employee, and assigns it to them (unless a different code is assigned at the payroll company level before being sent to TrakPay, and that code doesn’t exist on the policy…more on that later). If there is no code set at the payroll company level for the employee, some vendors still require the client to login and verify that the only code in that state is the correct code to use for that employee, and they require this each and every time for every new employee. That is a lot of tedious work that TrakPay does not make clients worry about.

2. Sometimes an employee will be reported to TrakPay with the state they live in, but not the state they actually work in. If this is the case, the client can use the ‘state override’ option to allow the state from the payroll company report to be the home state, but override this state when reporting to the insurance carrier, and instead use the actual state the employee works in. This happens sometimes when an employee is moving to a new state for their job, so once they move and their state changes to the new state at the payroll company level, TrakPay is smart enough to disable the override, and simply use the corrected work state moving forward.

3. Clients that add employees in new states will often need to go thru a very manual process of adding that new state to their WC policy. But with TrakPay, the software will recognize that the state for a new employee is not yet on the policy and prompt the client to enter the necessary information so that the new state will be added to the policy. In fact, TrakPay will automatically email you, their insurance carrier, with the required information to add the state/code combo so that the policy can be properly updated. No more tedious back and forth Q&A via email/phone calls to try and add the new state. And of course, if the pick-list of class codes the client has to choose from aren’t appropriate, we’re on standby to communicate with the client to ensure we help them add the most appropriate code.

4. TrakPay is programmed to suggest the appropriate class codes to choose from based on the class codes already on the policy for other states. Even better, many states will use ‘state-specific’ class codes like PA and DE, among others. If the employer is based in PA, and they happen to expand into say, NY, then the class code suggestions will be converted to NY specific codes that correlate to the PA codes already on the policy, and vice-versa.

5. If the policyholder assigns class codes to all employees at the payroll company level (before the report goes to TrakPay), then our software will use the state-code combo they pre-set (unless that state-code combo does not exist on the policy). And of course, if the policyholder doesn’t want to be bothered with assigning codes at the payroll company level (and trust us, they usually don’t want to be bothered with this), our software will make sure the correct code is assigned, and continue to use that code until it is otherwise changed by the policyholder manually in TrakPay. Additionally, if the policyholder decides to fill in a code at the payroll company level (i.e. they have an employee that changes from clerical office, code 8810, to outside sales, code 8742, and they set the code to 8742 at the payroll company level), as long as 8742 is on their policy for the employee’s state, the employee’s code will be changed. If not, they’ll be prompted to add the code, and the endorsement request will automatically be sent to you as mentioned above.

6. If the policyholder has a majority of employees working in one class code (like 8810 for clerical office work), and they have more than 1 code on their policy for a state (like 8742 for outside sales), they can use the ‘class code override’ feature which will automatically assign any new employees without a pre-assigned code (if they don’t want to bother assigning it at the payroll company level, which again, they typically do not want to waste precious time doing this for every new employee) to the most commonly used code (like 8810). This way they won’t be prompted to login to TrakPay and choose which code the new employee should be assigned to every single time. Obviously, this is a huge time saver. And of course, if the policyholder happens to know a new employee should be assigned the less used 8742 code (or whatever the code may be), they can assign it at the payroll company level, and TrakPay will use that code instead of defaulting to 8810.

7. If TrakPay receives payroll for an employee in a monopolistic state (which are the 4 states of OH, WA, ND and WY, where businesses need to secure coverage directly thru each respective states’ government run program), the client will be warned that they will need to secure a WC policy thru the respective monopolistic states’ insurance fund, and that their current policy won’t cover them for employees injured in those states. Further, the employee in the monopolistic state won’t be reported to you and generate in an error every time their payroll is reported which can happen with other vendors.

Pay type exclusions. Unlike other vendors, TrakPay will actually account for the excluded tips, overtime, and other pay types that should be excluded from being charged a WC premium. As you know, there is a long list of pay types that should not be charged a WC premium, and TrakPay has it covered. This even includes state specific exceptions like in California where Section 125 payroll deductions should be excluded unlike the rest of the country. This level of detail helps clients to enjoy a 99.9% accuracy in reporting, and further results in minimal to no audit adjustment surprises.

Seamless & accurate reporting of payroll. TrakPay already integrates with multiple insurance carriers. The file format that insurance carriers need to receive can widely vary, but nothing is too complex for TrakPay to handle. Once a payroll is successfully reported, it is converted into the appropriate file format for you, the carrier, and is automatically sent to you the next day. If a payroll has any pending employee errors, your carrier-specific file will not be generated until all errors are fixed, and only until then will the file be sent to you. This ensures that you are not receiving incomplete information, like missing class codes for new employees, and prevents yet another error that you will generate on your end.

Ability to change bank account information thru client portal. Not all vendors allow policyholders to update their bank account information online. Instead, the policyholder must go thru a manual process of contacting the vendor support team, sending a voided check, relying on the customer service rep to follow thru with updating their bank account info, and so on. With TrakPay, a client can easily update their bank account information online, and not have to wait around for a customer service rep to communicate with them via email.