When an employee gets injured or falls ill while performing their work duties, they are eligible for benefits, regardless of who is at fault. Most states require employers to carry workers comp to cover their employee’s workplace injuries and illnesses.
The general policy for workers comp varies by state, but it typically protects both employees and employers. Injured employees receive coverage for medical expenses, lost wages, and other costs related to a workplace injury, while employers are often protected from being sued by injured workers.
As an employer, you must understand the general policies governing worker’s compensation. Let’s look closely at workers comp policy to understand better your rights and responsibilities under workers’ compensation laws.
What is workers comp policy?
A workers comp policy is an insurance cover that benefits employees injured on the job. This policy covers medical expenses, lost wages, and disability benefits. It can also include rehabilitation costs and death benefits for dependents.
Who needs workers comp?
Regardless of their business size, all employers require a workers comp policy. Although some states do not require an employer to carry workers comp, purchasing one is always a good idea because if an employee gets injured on the job, the employer may end up paying benefits out of pocket if they do not have workers comp.
Who is eligible for workers comp benefits?
Any employee who suffers injuries or becomes ill due to their job is eligible for workers’ compensation benefits. However, independent contractors and volunteers are usually exempted from the cover. Additionally, employees injured while intoxicated may not be eligible for benefits.
Injuries Covered By Workers Comp
Some of the most common injuries covered by workers comp include:
- Slips, trips, and falls
- Motor vehicle accidents
- Repetitive motion injuries
- Falling objects
Processing A Workers Comp Claim
If an employee is injured on the job, their first step is to report the incident to the employer. Reporting a workplace injury promptly is crucial, as failure to do so can result in losing benefits. This is because there is a specific timeline for reporting workplace injuries.
The employer should then give the injured party a claim form to complete and return to them. The employer then submits the claim to their insurance provider, who reviews it to determine eligibility for benefits.
How are benefits calculated and distributed?
Upon approval by the insurance carrier, the employee receives the benefits whose exact amount depends on the severity of the injuries and the state laws where one works.
Benefits are typically calculated based on a percentage of the employee’s average weekly wage and may be paid out for a fixed period or until the employee has recovered from their injury or illness.
Understanding The General Policy For Workers Comp
Workers comp policy is essential for all businesses to protect their employees and themselves. This policy provides benefits to employees who become ill or get injured on the job. Without coverage, employees may have to pay for their own medical bills, and they may file a lawsuit against the employer to cover their expenses.
By carrying out this policy, business owners can help ensure their employees receive medical care and financial support while protecting themselves from costly legal disputes.
