Why Is Workers’ Compensation Required By Law?


workers’ compensation coverage Despite the extreme safety measures taken by most auto dealership employees, workplace accidents still happen. Even when the auto dealerships and body shops provide the safest of work conditions, mistakes and accidents can still happen. Many of these accidents lead to doctor visits, medical bills, and time missed from work. It is because of accidents like these that workers’ compensation coverage is so important, both for the employee and the auto dealership. To the employee, it is a guarantee that they will receive the benefits they need if they are injured on the job. For the dealership, the insurance prevents lawsuits because with the insurance, they can afford to pay the employee the necessary benefits.

History Of Workers’ Compensation

Laws protecting employees who are injured on the job have been around for over 150 years. Georgia and Alabama were the first states to pass Employer Liability Acts in 1855. By 1907, 26 other states had passed acts similar to Georgia and Alabama. By 1949, all states had some form of a Workers’ Compensation law. Today, almost every state requires companies to offer workers’ compensation coverage to their employees. This means that if a worker is injured while on the job, their medical expenses will be paid for, as well as time missed from work.


Categories: Insurance
This post was written by , posted on March 15, 2013 Friday at 11:46 pm