construction worker injured in fall

There are a lot of different types of businesses, and each workplace comes with its own set of risks. As a business owner, you want to ensure that you have sufficient insurance coverage for every possible situation that your enterprise might encounter. Not every company needs every type of business insurance coverage. However, one policy that is common to all businesses is workers compensation insurance.

What Is Workers Compensation?

Workers compensation is a special type of insurance that covers both employees and employers in the event that a worker is injured in an accident, becomes ill, or suffers loss of life while on the job. Even the most menial of tasks contain certain risks, and employees in every position should be properly covered. Workers compensation also provides coverage in the event of other incidents that might occur while on the job, such as natural disasters or workplace violence.

Who Needs Workers Compensation Insurance?

Each state has unique workers compensation laws. Generally, any business with at least one non-owner employee is required to maintain workers compensation insurance coverage. When your business is ready to hire its first employee, whether part-time or full-time, you need to check on the laws for your state and obtain workers compensation at that time. Most states impose stiff penalties for neglecting to carry workers compensation insurance. If the business consists completely of owners and has no non-owner employees, the coverage is usually not required but may still be optional.

What Does Workers Compensation Cover?

Workers compensation covers an employee’s medical treatments, costs for rehabilitation, loss of life coverage, and possibly even lost income, if they are injured or become ill while performing their duties on the job. It also usually protects employers from civil suits by employees who receive benefits from the coverage.

Workers compensation only covers injuries or incidents that occur while an employee is on the job. It does not cover incidents that may occur when employees are on their own time, even if they are visiting the work location.

Handicapped businesswoman with injured wrist wearing a neoprene wristband working at office

Obtaining Coverage

Every business owner wants their enterprise to be fully covered against any unexpected accidents, incidents, or illnesses. An uncovered claim against your company could be catastrophic to your business’s operation, and sometimes to the owners themselves. Our professional agents can work with you to review your current business insurance protection, determine your strengths and vulnerabilities, and provide a recommendation for the package you need to be properly covered. Contact us today and let us get your business protected.