As a business owner, having workers compensation insurance may or may not be required in your particular state, but it’s always good to have. This is one of the ways you can protect your company, and make sure your employees have proper coverage in the event they are injured on the job.

What is workers compensation?

This is a business insurance policy that covers job-related injuries or disabling incidents where the employee was not at fault. 

What’s covered under this type of insurance?

Workers compensation usually covers medical care from any illness or injury that results from working on the job or handling business on behalf of the company. There are also other provisions in place should an employee have to file a workers compensation claim:

• Income: Any income lost due to a workers compensation claim is usually covered under this benefit. However, there are coverage limits that differ from policy to policy.
  
  
• Therapy: The medical care an employee receives usually includes any therapy needed to get the person’s health and body as close to the condition it was in prior to the accident, if not better.
  
  
• Training costs: If the injury was so severe that the employee will have to be retrained, these costs may be absorbed under the insurance.
  
  
• Death benefits: There are instances where the employee dies as a result of an accident. Workers compensation insurance can cover benefits for the family and survivors.

Workers compensation is a commercial insurance policy that also covers long-term injuries, and injuries that develop over time as a result of their assignment, such as carpal-tunnel syndrome.

Is there a cap on the amount of benefits a person can receive?

Yes, there is a cap on the amount of money a person can receive, but there are instances where an employee has sued the company and won from being denied or terminated because of the injury.

Getting all the information from your insurance agent can help you find out more information on workers compensation coverage. If required by your state, not having a policy in place is against the law.