Workers Comp
Workers Compensation Plans
If your business has employees and is not providing workers compensation insurance, you are opening yourself to a world of hurt. Here’s why.
A workers compensation insurance plan provides financial protection to employees who are injured on the job or become ill. It ensures that your business is protected against costly lawsuits and protects your ability to continue operations in the event of an employee’s long-term sickness or injury.
What Does Workers’ Compensation Cover?
Let’s start with the basics. Workers’ Compensation is a monetary benefit paid by your employer to cover medical expenses and lost income when you are unable to work because of an on-the-job injury or illness. This benefit is provided by most employers in the United States and includes medical treatment, rehabilitation, and partial wage replacement for time lost from work.
What Is Not Covered by Workers’ Comp?
Workers’ compensation benefits are not to be used to pay for lost wages. Workers’ comp covers medical bills, disability payments and death benefits only. If you are injured on the job, workers’ compensation insurance covers your medical care, a portion of your lost wages, vocational rehabilitation and death benefits for surviving family members if an employee dies as a result of his or her work injury.
What makes a great compensation plan?
One that is clear and understood by all employees. When your employees understand how they are being paid, they have the ability to do an excellent job while reducing mistakes, saving time and improving efficiency. Writing an employee compensation plan can be overwhelming and complicated business practices, but it doesn’t have to be that way. Key considerations in developing the perfect compensation plan include the industry, size and economic conditions of the business as well as recruitment and retention goals.
Who Pays for Workers’ Compensation Benefits?
Depending on the requirements in your state and region, you either pay for workers’ compensation coverage or your business pays a percentage of your workers’ premiums to an insurance carrier. It is important to understand how these policies work so that you can make informed decisions about how to handle these costs as they relate to your human resources challenges.
How Does Workers’ Compensation Insurance Work?
The workers’ compensation insurance plan is designed to cover medical expenses and lost wages for employees who are injured on the job. This is not to be confused with health insurance or disability insurance, which handles things like physiotherapy and x-rays for an injured worker, respectively.
A workers’ compensation plan is the law in most states, and it’s a critical aspect of your insurance coverage. McIntyre Financial will show you how to get one that’s perfect for your company.