Common Questions About Workers’ Compensation Insurance

Once you start up your business’ operations, you may know that you have to acquire a workers comp insurance policy. However, even though you may know that this insurance is required, you likely still have questions about what it is, if you really need it, and what factors play a role in how much your premiums are.

What Is It?

Workers’ compensation is designed to provide any of your workers who become injured while performing their duties with medical, wage replacement, and disability benefits as they recover. In return for accepting these benefits, the injured employee is not allowed to hold your business legally responsible.

Does Your Business Need Workers Comp Insurance?

Without having a workers’ compensation policy in place, your business could be at severe financial risk. If an employee were ever to try and sue your company after an accident, you could be responsible for thousands of dollars in legal expenses. Additionally, business are often legally required to have this type of insurance coverage.

What Factors Impact Your Premiums?

Many different factors impact what your business’ premiums will be. These can include your company’s claims history, how many employees you have, and the type of industry you work in.

Like with any form of insurance, it is better to gain the peace of mind knowing that your business is protected than putting your operations and financial stability in jeopardy. If you have any more questions about workers’ compensation insurance and how it works, you may want to contact an insurance professional in your area.

This post was written by , posted on June 5, 2015 Friday at 6:45 pm

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