Workers’ compensation is an insurance that is usually a mandatory standard in most states. It provides wage replacement and medical coverage to employees who have been injured on the job. Workers’ compensation also ensures that employees won’t sue their employer for negligence.
While there are a few states that allow smaller employers to opt out of mandatory coverage, many companies still chose to opt for it due to the benefits that it has. Workers should also be familiar with their workers’ compensation policy so that they fully know their rights and that they receive their benefits. If you have trouble with receiving your benefits, you should contact a workers’ compensation attorney.
Benefits of Workers’ Compensation
- Exclusive Remedy. A big part of workers’ compensation is that it provides an exclusive remedy for employees who have been injured. This is a huge benefit for employers because this means that you cannot be sued for an injury caused to an employee who is insured.
- No-Fault Coverage. It doesn’t matter whose fault it was, the employee is supposed to get their benefits. In the majority of circumstances, as long as the employee is injured while doing their job, the employee will get coverage even if they’re partially responsible for their own injury.
- Peace of Mind. With workers’ compensation, you can rest easy knowing that if you get injured on the job, your medical bills will be paid, you’ll get any income or wages lost, and you’ll get disability benefits. These benefits are extremely important if you’re unable to work after you’re injured.
States that require companies to offer workers’ compensation can have severe consequences for companies who refuse buy this insurance. These penalties include:
- Fines. A few states fine businesses for every day that a company does not maintain coverage. If you don’t have coverage for a long time, you could owe thousands of dollars. These fines can be devastating for companies.
- Severe penalties. Some states actively prohibit those who don’t have workers’ compensation from operating their business. Some even obtain an order from a court to shut their business down until they present evidence of coverage.
- Personal liability. The employer or their business may be held liable for paying for the lost wages and medical expenses if they don’t offer workers’ compensation.
- Loss of exclusive remedy. Without workers’ compensation, employees can sue you if you’re injured on the job.
If you have a small business that has only family members and friends employed, it’s still important to have workers’ compensation. These close relationships don’t guarantee that you won’t be sued, and it doesn’t mean that your employer has the right to deny you your benefits.
Workers’ compensation is insurance that does not only protects employees but employers too.
When you’re injured on the job, you should get connected with Los Angeles healthcare attorney. If you need any advice on workers’ compensation or need help getting through the process then get in touch with an attorney who knows what they’re doing.