Trying to avoid paying work comp premiums?

A recent article in an industry blog, Comp Time, http://www.businessinsurance.com/section/blogs02, cites a large jump in uncollected insurance premiums. Apparently many employers are leaving their work comp carriers around audit time and finding another carrier. This is done to avoid paying any additional premium due. Many employers are signing up for work comp and drastically under reporting their payroll and then seek to avoid paying the premiums when an audit can turn up a higher actual payroll. The problem with this practice is that it drives up premium for everyone else and the employer will eventually be caught, and not only be subject to paying the premiums, but also can face prosecution.
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