Whether you are managing a small company or a large corporation, there is one piece of important information that you need to be aware of when it comes to workers’ compensation insurance. The fact of the matter is, not all employers are required by law to carry this coverage. In some cases it is considered a voluntary plan, however, this is not always the case. The following are reasons that your company should consider having this type of insurance in place.
Workers’ compensation insurance protects your finance experts If an employee is injured on the job, workers’ compensation insurance covers the loss of wages and other benefits that would be provided to the employee. In some states an employee may not recover lost wages and other benefits until four weeks after the accident. Employer’s liability insurance helps to pay for: Attorneys fees and court costs. This insurance helps you avoid being responsible for medical and funeral expenses that could have been paid for out of pocket by the employer.
Protects your business assets In most cases, employees are one of the biggest cost contributors to a business. In addition to paying their wages, some employees may also benefit from workers’ compensation coverage. Without workers’ compensation insurance, some businesses may be forced to close their doors as they lose the ability to provide their employees with benefits that may have been provided through an employees general liability insurance policy. Today there are many different types of workers’ compensation policies available which can be tailored to meet the specific needs of a business.
Provides peace of mind for your customers Most customers appreciate knowing that when making a claim for work-related injuries they will be covered by workers’ compensation insurance. Insurance coverage not only covers workers, but it also covers contractors, and subcontractors as well. In addition, workers’ compensation insurance helps to lower health care costs as well as future financial security for your employees. You will find that by providing adequate coverage to your employees you will in turn gain peace of mind that you do not have to pay too much out-of-pocket for treatment that would otherwise have been paid for by the insurance.
Maintains peace of mind for investors When workers’ compensation insurance is properly maintained, a business owner maintains peace of mind. A business owner knows that their employees are not going to go on strike, or suffer an injury that means they cannot work. They also know that should an employee get injured on the job that they will not be covered by workers comp. For these reasons, it is essential to get the best workers comp available. The best way to do this is to obtain an affordable private insurance coverage through an employer who offers it.
Benefits to employees and employers An employer who provides workers’ compensation insurance has many advantages, especially for small business owners and self-employed workers. To begin with, there is a lower risk to the business because no one is forced to shoulder all of the expenses out-of-pocket. The workers’ compensation insurance company takes care of paying the medical bills for employees and their dependents, which is another expense that a business can do without.
Another advantage is that many of the employers who provide workers comp insurance have a group rating discount. These employers are able to save money because they are required to provide a certain percentage of the premium payments to the group that is paying for the insurance. Not all employers are able to take advantage of the discounted rates, but the ones that do are able to enjoy significant savings. It is important to note, however, that there are some employers that actually do offer reduced premiums for employees who have a clean record. It is always a good idea to check with an insurer to determine whether or not your business will enjoy such a discount. If this is the case, you may want to consider shopping around for trust workers’ compensation coverage online instead of through your employer.
There are many additional benefits that trust workers’ compensation insurance offers as well. The coverage will help you in the event that an employee is injured while at work. For example, if an employee is accidentally crushed to death in the kitchen or bathroom, you may be responsible for paying the bills. In addition, some employers will offer extra coverage for pain and suffering if an employee has been injured while at work. Some companies even offer coverage for lost wages as well as past and future medical costs that could arise as a result of an employee injuring themselves while on the job. It is important to check with your business insurance broker, as he/she will be able to guide you to the right kind of plan for your business.