Which statement relating to workers' compensation insurance is not true?
A) It is compulsory for all employers to take out workers' compensation insurance.
B) The percentage rate of premium is the same rate for all employers.
C) The premium is based on a percentage of the wages and salaries bill for the coming year.
D) When workers' compensation insurance is paid in advance, prepaid workers' compensation insurance is debited and bank is credited.

Question

Quizplus · Accepted Answer

The percentage rate of premium is not the same rate for all employers. The rate is determined based on factors such as the type of industry, the number of claims filed by the employer, and the history of workplace accidents.

Which Statement Relating to Workers' Compensation Insurance Is Not True