MTM prides itself on offering some of the best service in the insurance industry. That commitment to service includes working with our policyholders to fit their premium payments to their individual needs. Recently we did an analysis of the ways policyholders make their premium payments and were rather surprised at what we found.

The most used payment method was Pay in Full, where the policyholder pays the entire year’s estimated premium up front and gets a 3% discount. Even though only 97% of the year’s premium is paid up front, 100% of the estimated premium is credited when the final audit is processed. In 2020 over 1/3rd of our policyholders took advantage of Pay in Full with savings of almost $143,000.

The second most used payment method is AutoPay. With AutoPay your estimated annual premium is divided into 12 equal payments which are automatically pulled from your company checking account on or after the 10th of each month. MTM charges no fee for this service. Each month at least 60% of the installment payments being made are through AutoPay.

So, what was so surprising? It turned out that writing those monthly checks, what we might consider the most traditional method of payment, came in only third. Seems over 2/3rds of our policyholders would rather earn discounts or avoid the cost of checks, envelopes and postage when making their workers’ comp premium payments. If you are still going the traditional route, consider switching your payment method at your next renewal.