Workplace injuries are inevitable over time, and therefore organizations require a set of protections against financial claims due to injury. Workers’ compensation insurance, often referred to as workers’ comp, is an insurance policy that provides coverage for medical expenses and lost wages in the event an employee becomes injured or ill at work. Physical and psychiatric rehabilitation, as well as death benefits, can also be covered through a worker’s compensation policy.
What Does Workers Compensation Cover?
If an employee sustains a physical injury while performing labor on the job, worker’s compensation will cover the expenses. Other work-related conditions such as carpal tunnel or asbestosis can also be covered by worker’s compensation. Employers will receive financial protection for worker’s compensation claims if an employee suffers a workplace injury or illness, regardless of whether it was caused by employee negligence or not.
What is Not Covered?
Injuries that occur outside of work, including while commuting to and from work, are not covered by worker’s compensation. If an employee suffers intentional harm, whether self-inflicted or by another individual, it will not be covered. Injuries that occur while under the influence will also not be covered by workers comp. Seasonal employees, contractors, and volunteers may also not receive worker’s compensation benefits in some states.
Who Needs Workers Compensation Insurance?
Almost every state requires employers to acquire a workers compensation insurance policy. There are some exemptions for certain employees, however, that you can verify with your state. It is important to bear in mind, though, that worker’s compensation insurance provides a layer of protection for both yourself and your employees.
Employer’s liability insurance also comes with worker’s compensation, which can help you pay for court fees and other expenses for injuries not covered by workers comp. It is generally not required for sole proprietors to own a worker’s compensation policy, but you can still receive medical reimbursements from a policy if you are injured at your place of work.
The Importance of Workers Compensation
In addition to protecting your organization against expenses resulting from a workplace injury, worker’s compensation ensures your injured worker receives the medical and financial care they need. It also protects your other employees whose negligence may have caused the injury from legal complications. Worker’s compensation insurance extends to disability, missed wage, and death benefits, providing an extra layer of protection in the event a workplace injury is severe or fatal. Therefore, the claimant, as well as the liable party, can likely avoid litigation due to sustained injury on the job.
Speak With Pro Insurance Group Today
With newer accident risks impacting the modern business, it has become increasingly important for organizations to acquire workers compensation coverage. If your company wishes to protect itself along with its employees, Pro Insurance Group can help. For more information or to acquire a policy today, call us at 833.619.0770 or request a quote online today.