Tennessee Workers Compensation Insurance is a "no fault" system. A no fault system is define as a system that does not place the negligence on either the employee or the employer, it doesn't matter who is responsible for the injury the workers compensation claim is paid out. This no fault system allows for Tennessee Workers Compensation claims to be resolved without any issues. Most of the problems occur over how much money an injured employee is entitled to receive.
Does My Company Require Tennessee Workers Compensation Insurance?
Tennessee Workers Compensation Insurance requires that all companies that have 5 or more full or part time employees have adequate coverage. Companies that operate in the construction or mining industry are required to have Workers Comp coverage if they have any employees or corporate officers.
Who is Exempt From Tennessee Workers Compensation Insurance?
Tennessee recently made several changes to their laws regarding Workers Compensation. Most of the new laws affect contractors that work in commercial construction. The changes were made to help with fair bidding practices, to reduce Workers Comp fraud, and reduce employee misclassification in the construction industry.
Exemption Eligibility:
- Up to 3 corporate officers
- LLC member who owns at least 30% of the company
- Partners who own at least 30% of the company
- Sole proprietors
- Up to 3 members of a family owned business
Tennessee Workers Compensation Benefits
Benefits of injured workers are paid by the employer or the employer's insurance company. The Tennessee Department of Labor does not pay Workers Compensation Benefits.
Wage Benefits
Weekly benefits are paid if the treating doctor finds that the employee is unable to work due to the injury and misses more than 7 days of work. If the employee is out more than 14 days, benefits will be paid from the first day out of work. Tennessee Workers Compensation Insurance law sets limits on the maximum and minimum amount of weekly compensation paid to injured employees. The amount of the benefits are two-thirds of the employees weekly wage average over the year prior to the injury.
Medical Benefits
Medical treatment is paid in full, at no cost to the employee, for as long as it is required by the treating doctor. The treating doctor can provide off-work excuses and light limitations. Upon filing a Workers Comp claim the employer must provide the employee with 3 different doctors to choose from, and some restrictions can apply. For example, if the injury is to the back then atleast one of the doctors must be a chiropractor.
The injured employee is also able to receive reimbursement for travel to and from medical treatment.
Permanent Impairment and Final Settlement
If the employee does not ever fully recover from the work related injury then the treating doctor can assign a permanent impairment rating. The impairment rating, combined with vocational factors, may result in a permanent disability award. To keep the process moving along and fair the Tennessee Department of Labor will conduct, at now cost to the parties, an informal benefit review to assist in reaching a final agreement on the claim.
Death Benefits
When an injury results in death of an employee, the benefits are passed on to the surviving dependents. Burial expenses for the employee are paid up to $7,500. If the employee does not have any immediate dependents the benefits are paid to their estate.
Do you have questions about Tennessee Workers Compensation Insurance?
To find out how your company can save time and money, speak to a Workers Compensation specialist at 1-800-253-7040.
