Am I Required to Update My Workers’ Compensation if I Hired Summer Help?

What if your well-meaning seasonal hiring turns into a costly insurance oversight?

Every summer, businesses across Ohio—from landscaping companies and ice cream shops to small retailers and local farms—bring on temporary workers to handle the seasonal rush. But as the season winds down and operations slow, many business owners are left wondering:
Do I need to update my workers’ compensation insurance now that my summer help is leaving?

The short answer? Yes—most likely.
Here’s what you need to know to avoid potential penalties. Make sure your policy is accurate, and ensure your business stays compliant and protected year-round.

Workers’ Comp Is Based on Payroll—And That Includes Seasonal Help

Many business owners assume that short-term or part-time workers don’t significantly affect their workers’ comp policy. But the Ohio Bureau of Workers’ Compensation (BWC), like most other state agencies, requires your premium to reflect your actual payroll—including any seasonal, temporary, or part-time employees.

So, if you brought on a few high school students for the summer, or added temporary staff to help with increased demand, that additional payroll needs to be reported.

Example:
Let’s say you own a landscaping company and hired three extra crew members from May through August. Even if they worked part-time, their wages still count toward your total payroll—and therefore, your workers’ comp premium. Failing to update this information could result in an underreported payroll and a surprise bill when your annual audit rolls around.

Failure to Update Could Mean Audits, Penalties, or Gaps in Coverage

Workers’ comp premiums aren’t set in stone—they’re often adjusted after a policy period ends through a payroll audit. If your actual payroll is higher than what you initially reported, you’ll be on the hook for the difference, and potentially penalties or fines.

Worse yet, underreporting your payroll can leave you vulnerable if an injury occurs and your policy limits are misaligned. That’s a risk no business wants to take.

Example:
A family-owned ice cream shop hires three local teens to serve customers for the summer. One of them slips in the back room and gets injured. If the shop never updated its workers’ comp to reflect these hires, the claim might raise red flags—especially during a policy audit. That could delay the claim. Or even result in partial coverage issues if it looks like the payroll was knowingly underreported.

Key Takeaway:
Keeping your policy current protects your business legally, financially, and operationally.

You May Be Eligible for Adjustments or Credits—But Only if You Report

Here’s the good news: updating your workers’ comp coverage doesn’t always mean paying more. In fact, if your payroll decreases after the summer ends, you might qualify for adjustments or even credits to your premium.

When you communicate these changes to your insurance provider or to the BWC, they can help you adjust your policy to reflect your actual workforce. This helps avoid overpaying during the off-season.

Example:
A local garden center doubles its staff from May to September but returns to a skeleton crew in the fall. If the owner notifies their insurance agent, they can adjust their projected payroll numbers accordingly and potentially receive lower premium payments for the rest of the year—instead of continuing to pay based on a higher summer staffing level.

This is one of the key reasons why proactive communication with your insurance provider matters.

Don’t Wait for the Audit: Update Your Workers’ Comp Now

If you hired summer help—even for just a few weeks—it’s time to revisit your workers’ compensation policy. Updating your policy isn’t just a good business practice; it’s a smart financial move. It helps avoid surprise bills and keeps you compliant with Ohio’s laws.

At Hertvik Insurance Group, we help business owners like you stay one step ahead of workers’ comp requirements. We’ll guide you through updating your policy, clarify any gray areas, and make sure you’re only paying for the coverage you truly need.

Let’s take the stress out of workers’ comp.
Call us today or contact us online to schedule a quick policy review before summer officially ends. Your peace of mind—and your bottom line—will thank you.