3 ways workers’ compensation protects your business
What happens if one of your employees gets hurt on the job? You might be liable to pay for injuries or lost wages. The financial hit to your business could be substantial unless you have workers’ compensation insurance. What is workers’ comp and how can it help your business? We’re here with three important ways.
- What workers’ compensation is
- What injuries are covered
- 3 ways workers’ compensation protects your business
Explaining workers’ compensation insurance
“Injuries employees sustain on the workplace premises or anywhere else while the employee is acting in the “course and scope” of employment are covered if their employer has workers comp insurance,” according to the Insurance Information Institute.
Workers’ comp is meant to protect your employee and your business in the event that he/she is injured in the course of doing his/her job. If you run a small business with few employees or you’re involved in an industry associated with little risk, you may think this kind of coverage is unnecessary.
You would be wrong.
Even employees in office settings can experience injuries, from tripping over a power cord to repetitive stress injuries, like carpal tunnel syndrome. Also, most states require businesses to carry workers’ comp, including Florida.
What injuries are covered?
Covered incidents might include:
- Physical injuries –Tripping, falling, slipping, being hit by falling objects, back injuries, injuries caused by loud noises and excessive vibrations, and car accidents.
- Ergonomic injuries – Injuries to the musculoskeletal system that occur over time due to repetitive motions, manual handling, or poor body position.
- Chemical – This includes hazardous substances, like toxic chemicals, that can cause injuries or illnesses.
- Biological – Injuries caused by bacteria or viruses, such as hepatitis or HIV/AIDS.
- Dangerous events – Workplace violence, terrorist attacks, and natural disasters.
3 benefits of workers’ comp
Workers’ comp insurance has three big benefits for your business.
- Protect your employees – Your employees will be shielded from paying out-of-pocket medical expenses. They’ll also be compensated if they can’t work due to an injury or illness.
- Protect yourself – Without workers’ comp you could end up having to pay those medical expenses or lost wages out of your pocket. This could be financially devastating and put your business at risk. Having workers’ comp also reduces your risk of facing lawsuits or other legal complications.
- You’ll be compliant – Most states require businesses to carry workers’ comp insurance. Your state will also have laws regarding how much an employee can get, which injuries are covered, how injuries should be evaluated, and how medical care should be provided.
If you’re unsure about the workers’ comp laws in your state, check with a corporate attorney or your state’s labor department.
All-around protection for businesses and employees
Workers’ comp insurance should be an important part of your business plan. It can protect you and your employees in the event of a workplace injury or illness, which are more common than you think. The insurance experts at Avante Insurance can answer your questions about how much coverage you need or how to obtain workers’ coverage.
We can also help you obtain coverage for other commercial insurance needs, including:
- General and professional liability
- Commercial auto
- Loss of income
- Employment practices
- Commercial umbrella
If you have questions about your insurance coverage or you’re interested in a quote, contact us today.
This blog and website are made available by the publisher for educational and informational purposes only. It is not to be used as a substitute for competent insurance, legal, or tax advice from a licensed professional in your state.