Why your business should have workers’ compensation insurance.

As a business owner, you do what you can do to protect your company. Workers’ compensation is an insurance program set up to provide workers who were injured on the job benefits to make up for lost wages while they’re out taking care of their injury. In many cases, workers’ compensation is state-mandated insurance that is required even if a business has only one employee.

Workers’ compensation insurance is designed to cover incidents such as the following:

  • Injuries or loss of limbs
  • Illnesses, like emphysema
  • Injuries caused at work, like repetitive motion injuries
  • Medical treatment
  • Rehabilitation needed so employees can return to work
  • Lost wages (up to two-thirds of the employee’s salary)
  • Death

There are some restrictions, however. An employee cannot receive benefits if the illness or injury is purposefully self-inflicted, not job-related, or received while committing a crime. Workers’ compensation fraud is rare, but it can be a very real issue for businesses, so be sure to look out for suspicious signs that employees are taking advantage of the system.

By investing in workers’ compensation, you can put your business on more secure financial grounds. This means that your business does not need to worry about making costly injury settlements out-of-pocket. What’s more, when employees accept workers’ compensation coverage, they surrender their ability to sue the business for their injuries. Therefore, the business doesn’t have to cover unexpected lawsuits from their employees.

For an affordable workers’ compensation insurance policy, contact Tompkins Insurance Agencies. We can help you find reliable coverage that will move with your company.