What is considered compensation that I will need to report to the insurance company as our exposure?

The insurance policy will be issued on your organizations national policy effective date with an estimated compensation for your location. At the conclusion of this policy period, you will be asked to provide MJ Insurance with your actual compensation dollars for your employees.

The compensation number is to include not only the monetary compensation paid to your employees, but also is to include any “in kind” compensation such as room and board allowances, use of a cell phone for the house director and meals for your hashers/house boys as some examples. The total value of both is monetary and “in kind” compensation is what you should report at the policy year end’s audit.