Even safe workplaces have accidents and that’s what workers’ compensation insurance is for. Sole proprietors, partnerships, and businesses with only a few employees typically can but aren’t required to purchase coverage. Each state has its own workers’ compensation rules, but here’s some general information you should know.
Regardless of who’s at fault, workers comp benefits provide injured workers with all medically necessary and appropriate treatment, income compensation (based on the extent and duration of the disability) while they can’t work, and death benefits if a worker is killed. It also usually protects employers from lawsuits by injured workers.
Workers’ comp costs include premiums, payments, and the costs of handling claims and making reports. Premiums are based on your industry classification code, payroll, type of work, location, and claim frequency. Here are some ways to reduce premiums.
To learn more about workers’ compensation you can visit The Division of Workers’ Compensation (DWC) website or get in touch with us.