Workers’ Compensation

No matter how careful workers are, or what safety measures your company has in place, accidents are simply a part of life. Workers’ compensation insurance exists for that exact reason. But, it isn’t just designed to protect workers; it’s also designed to protect employers.

Protection for Employers and Workers

Workers’ compensation insurance is generally state-mandated. It provides wage replacement and compensates for medical treatment when an employee is injured on the job. While workers’ compensation was created to care for hurt employees, it was also meant to protect employers from being sued, should an injury occur. This prevents businesses from facing bankruptcy any time a worker is injured, and it simultaneously provides security to workers in high-risk industries.

What Does Workers’ Compensation Cover?

If an employee is injured, workers’ compensation will cover:

  • Medical expenses
  • Disability payments
  • Rehabilitation
  • Retraining

Cost Control

Controlling workers’ compensation costs can be tricky, but keeping costs low is imperative to protecting your company’s bottom line. Your premium is based on several different factors, including statistics collected by the National Council on Compensation Insurance (NCCI) and your company’s hazard rating.  Hazard ratings depend on the amount and severity of claims that your business or industry submits. To control costs, consider the following strategies:

  • Ensure your hiring process is designed to discourage high-risk hires.
  • Thoroughly investigate accidents and follow up with corrective measures.
  • Establish a company safety program.
  • Perform periodic safety audits.
  • Educate employees on your business’s experience modification factor.

When costs are properly controlled, workers’ compensation insurance can benefit any business. To learn more about this type of coverage and how to make it work for your business, contact Karl Weidel Insurance by calling 877-489-0512 or by filling out the form on this page.