As a reimbursable employer, your entity is responsible to pay for every claims dollar that the Dept. of Labor pays out to claimants in a given quarter. It is difficult to determine what your claims expense will be in a given year. In the VSBIT program, your rate is based on three years of historical claims which are then averaged. For example, the FY22 rate is based on FY18 - FY20 claims and is announced in January 2021 which allows you to build the appropriate expense into the budget. This also allows for a more consistent budget. If you have one abnormally high claims year, the burden is spread over three years of contributions into the VSBIT program.
VSBIT partners with Equifax, previously TALX, to provide consultation and administration of unemployment claims, decisions, and hearings. This includes online management reports which outline unemployment activity, results, and compliance metrics. Equifax also plays a key role in the protesting of questionable claims. Over the years their expertise has resulted in millions in savings to the membership.