Workers Compensation Insurance is an insurance policy that covers an employee that is injured or gets an illness as a result of work related activity. In the instance of an injury or qualifying illness the insurance company will pay benefits to the employee specified under the law.
Not every state requires that you have Workers Comp Insurance. Regulations vary from state to state but in general you are required to carry coverage if you employ more than 3 to 5 workers. Even if you are not required to carry coverage it is smart to protect your company from a litigious society. Just because you are not required to carry Workers Compensation Insurance does not mean you are not liable for the injury or illness that occurs on the job.
We provide coverage for every state in United States but some states have some special requirements.
More State Workers Comp Resources:
Who is Required To Have Workers Comp Insurance?
In states that required companies to carry Workers Compensation Insurance, companies that have at least 1 employee are required to have coverage. Every employee in the organization is covered under Workers Comp law with a few exceptions. Those exceptions will include company officers, or sole proprietors.
Also included in most exemptions are farming businesses, self employed, and independent contractors.
Benefits Covered Under Workers Comp Insurance
Medical Care
All medical treatment necessary to cure or relieve the effects of work related injury or illness will be paid either by the employer or the insurance company providing coverage. These expenses will include doctor services, hospital bills, physical restoration, dental care, prescriptions, X-rays, lab services, and all other necessary car ordered by the authorized doctor
Temporary Disability
Paid if a doctor says that an employee cannot work because of a work related injury or illness. Benefits are not paid for the first 7 days of work missed unless the employee is off more than 14 days or in the hospital. The amount of compensation is determined by law and is 2/3 of the employee's weekly salary with a minimum of $126.00 per week and a maximum of $490.00 per week. Payments must be paid every 2 weeks, for as long as the employee is eligible. Benefits stop when the employee returns to work or the treating doctor releases the employee for work.
Permanent Disability
Benefits are paid if an injury or illness results in a permanent impairment that reduces the employees ability to compete for a job on the open market. The amount the employee will receive depends on the extent of the disability. Other factors that are considered when figuring benefits are date of the injury, the age when injured, and occupation. Disability benefits are set by state law and are paid every 2 weeks until the benefit is completely paid.
Vocational Rehabilitation
These benefits are paid if the employee is unable to continue their job they had prior to the injury or illness and the employer does not offer a different type of position. Benefits are paid while the employee is taking part in vocational training.
Transportation Reimbursement
Workers Compensation benefits paid by the insurance company or employer for the cost of travel while going to the doctor. The employee is able to receive mileage from their home to the place of treatment for the state rate.
Death Benefits
Paid to dependents or to the estate of the employee who dies while working on the job. Death benefits are paid similar to temporary disability benefits.
Injuries Covered By Workers Compensation Insurance
Workers Compensation Insurance laws can very from state to sate but there are four types of injuries that are covered across the board.
Physical Injuries
This is where most Workers Compensation Claims occur, traumatic personal injuries. Injuries under this classification happen at a specific time – opposes to over a period of time. A good examples of this type of injury is when an employee slips and hurts their back or breaks an arm.
Repeated Injury
This type of injury is one that does not happen at a specific instance but rather by repetitive movements over a period of time. An example could be for an employee that works on an assembly line does the same motion day after day and over time they have muscle issues that start to occur.
Mental Injuries
Most states cover mental injuries under Workers Comp Insurance whether the employee suffers a physical injury or not.
Occupational Illness
Workers Compensation Insurance will cover illnesses that develop over time that are caused by working conditions. Normally states classify illness as conditions caused by exposure to toxic chemicals and materials at work, like asbestosis. For an employee to gain benefits from illness they have to prove that the disease is not connected to ordinary life experiences.
For an immediate answer to a Contractor Insurance question, give us a call at 1-800-253-7040.