What is it
Workers’ Compensation insurance covers medical injuries and rehabilitation costs for your employees if they are injured on the job. It also provides reimbursement for lost wages and any type of insurance settlement related to a workplace injury. Payment of employee medical bills and lost wages are made regardless of how the injury or illness occurs. In most states, coverage is also available for the owners, directors or officers of the business. Employer's liability provides coverage if an employer is sued for damages arising out of employment-related injury or illness, and claims alleging that the employer’s negligence caused the injury or illness.
The purpose of workers compensation insurance is so employees can recover from work-related injuries without the complexity of a lawsuit.
why do i need it
On-the-job injuries or illnesses can be very costly. Not having the proper coverage against these expenses means that you could be taking a big financial risk. You can cover the cost of your employee’s medical expenses and disability payments with Workers’ Compensation insurance.
Who needs it
Workers Compensation is required by law in most states. In Massachusetts, all businesses must carry workers’ compensation insurance, including owners considered employees, regardless of the number of hours worked. Employees in domestic service must be covered if they work 16 or more hours per week.
Protect Your Employees and Yourself!
Typically, Workers’ Compensation will pay for:
- Medical benefits for job-related injury or disease
- Disability income benefits, including compensation for lost wages
- Rehabilitation benefits to help an injured worker return to productive work
- Funeral costs and death benefits for surviving spouse or dependents
Employers Liability provides separate limits for each accident, each employee and total policy limit.
Typically, employers liability will pay for:
- Legal costs if you are sued over the injury, including attorney fees, court costs and judgements or settlements
Do I need a worker’s compensation policy if I do not have any employees?
It depends, at LoPriore Insurance we can help you determine if coverage is needed.
What happens if I don’t have a worker’s compensation policy and have employees?
You can be issued a stop work order and be fined daily until coverage is in place and fines are paid. You could also be subject to criminal charges.
Not having Workers Compensation Insurance is serious business. Contact the professionals at LoPriore Insurance to ensure that you and your business are protected.
Can a sole proprietor be covered?
Sole proprietors can elect in and be included on a workers compensation policy at the time of issuing the workers comp policy. The benefit to sole proprietors is if they get injured you at work, they do not need to use their health insurance to cover medical costs.
How is the cost of Workers Compensation insurance determined?
Insurance cost is based on the job classification of your employees and their actual payroll. Additional rating factors such as claims history and state surcharges may apply to policies and may increase or decrease your insurance premium.