Every organization in the United States that has employees is required by law to carry Worker’s Compensation insurance.
The requirements vary by state. The maximum amount of payment for injuries and lost wages are also State specific. Please review your coverage with your licensed insurance agent if you have employees who work in multiple states, or states other than the one where your business is domiciled.
The dentist may cut herself. The dental assistant may sustain internal organ damage from over-exposure to x-ray related radiation. The receptionist may develop carpal tunnel syndrome. Worker’s Compensation provides for their medical coverage and lost wages while they are unable to work. In most cases, the medical bills and lost wages are paid by the Worker’s compensation portion of the policy and there are no resulting lawsuits.
Every organization in the United States that has employees is required by law to carry Worker’s Compensation insurance.
However, if the employer can be held liable in any way for the injury, it may be possible for the employee to bring a lawsuit against them. In this case, the Employer’s Liability portion of the policy would step in both to offer defense coverage and settlement payment on behalf of the employer. In most states, Worker’s Compensation and Employer’s Liability coverage are included together in one policy.
Simple steps such as providing employees with a list of recommended physicians (commonly known as a Physician’s Panel) and offering light duty so that they can return to work sooner, can all help with alleviating the severity of worker’s compensation claims.
*In some states, Worker’s Compensation is only available through the state’s worker’s compensation insurance program.