Workers’ compensation is designed to cover employees in the workplace. Insurance is designed to keep employees safe when the work environment doesn’t, and this will include any injuries that occur at work.
Benefits will be provided to employees, and in the event of death, the worker’s family can still receive death benefits.
A few of the things employees and employers often don’t know about workers’ compensation are:
1. Every State has Different Laws
Every state’s law differs, so the benefits you receive in one state may be completely different from another state. States have their own governing boards, which are responsible for the oversight of workers’ compensation.
Most states require employers to have a workers’ compensation policy.
2. Workers’ Compensation Covers Everyone
Everyone is covered under workers’ compensation, and this means that whether there are 100 people or just one person, insurance will cover them. Business owners may also take out workers’ compensation so that they can cover unexpected medical expenses, disability and potential lost wages.
All employees will be covered, including:
- Work on contract
3. Workers’ Compensation is Designed to Protect You from Lawsuits
Workers’ compensation is designed for businesses, and this is one of the best forms of liability insurance a business can obtain. One lawsuit can cause a business, especially a small business, to go under.
Prior to workers’ compensation, employees would have no other option but to sue their employer for injuries that occur on the job.
Workers’ compensation has been around for over 130 years, and when the insurance first came about, employees were required to waive all of their rights to file a lawsuit against their employer.
Employers, especially when they’re negligent, can still be held liable for injuries.
While workers’ compensation doesn’t provide 100% liability from lawsuits, it can help you better absorb the impact of a lawsuit.
Employers only cover about 20% of the cost of work-related injuries and illnesses.
4. Partial Fault Doesn’t Mean Employees Can’t File a Claim
Employees can still file a workers’ compensation claim even if they’re partially at-fault for the injury that occurred. The one key factor that will be looked at is if the injury occurred during the scope of the work.
If an employee was drinking alcohol or on drugs, this will definitely have a negative impact their ability to file a claim.
But if the injury does occur during the scope of work, the worker will be able to file a claim even if the injury is partly the worker’s fault.
5. Benefits May Be Collected If They Were Outside the Workplace in Some Cases
Benefits can still be collected even if they occur outside of the workplace in some cases and depending on the state. The key is that the injury must occur within the scope of the work. So, if a salesperson is injured on-the-road, it is still within the scope of the work.
A file can still be claimed in this case.
Workers that are on break will not be covered for their injuries, but they are likely to be covered if they were injured at a company-sponsored event