Workers’ Compensation Coverage and Benefits

In the case of an on-site work injury, employees are entitled to a certain amount of compensation that will help them cover their medical bills and make up for lost wages. However, this is only the case if the business has workers’ compensation insurance. Luckily for everyone, this type of insurance is mandatory in all states of America, except Texas. Still, even businesses under the Lone Star flag opt to protect their employees from work-related injuries.

Last year, there were more than 2 million nonfatal work-related injuries, which indicates that injuries can happen and businesses that don’t obtain this type of coverage are exposing their employees to unnecessary risk.

If you are interested in how workers’ compensation coverage works and what are the benefits for both businesses and employees, read below and find out more.

What Exactly Is Workers’ Comp Insurance?

This type of insurance pays for medical expenses and on top of that, it provides coverage for lost wages. It’s worth mentioning that the insurance is paid entirely by the employer and employees don’t have to contribute to the insurance fund.

If an injury occurs, the employer and the insurance company will work together to determine whether the injury was actually work-related. If they deem that the injury occurred at a work site, then the employee will be rewarded workers’ compensation insurance funds.

In addition to that, workers’ compensation insurance can be awarded to the family of the employer in case of a work-related fatality.

What Should An Employee Do When Their Claim Is Denied?

Generally speaking, workers’ compensation insurance is awarded as soon as the insurance company reviews the evidence pertaining to the work-related injury. However, in some cases, the insurance company can deny the employee’s insurance claim.

However, that doesn’t mean that the employee will be left helpless and without compensation. Every employee can obtain what they are legally entitled to by working with an expert workers compensation lawyer who will ensure that the claim is strong enough not to be denied again.

Employees can appeal the claim on their own, however, if they are not acquainted with how the law works, they risk not obtaining the insurance which can help them recover from the injury faster.

What Does This Insurance Cover?

The benefits the employee receives will be decided by the severity of their injury and the type of workers’ insurance the employer has obtained. To see what the insurance covers exactly, you can ask your employer to review the policy thoroughly. In most cases, you will have the ability to do so when you are joining the workforce of that particular company.

In most cases, workers’ compensation insurance covers the following expenses:

• Medical expenses such as medications, special medical equipment, emergency surgeries, and hospital visits;
• Lost wages if the employee is expected to return to work after making a full recovery;
• Ongoing medical costs, for example, physical therapy.

How Businesses Can Benefit From Workers’ Comp

By obtaining a solid workers’ comp insurance policy, businesses can rest assured that job seekers won’t hesitate to add to the business’s current number of employees. On the other hand, if the business doesn’t have sound workers’ comp insurance, job seekers will avoid putting their well-being at risk just to work for a company that doesn’t value their safety.

In addition to that, if a business does have this type of insurance and the employee is not severely injured, the employee will receive compensation for lost wages and eventually return to work safely.

Who Needs This Type Of Insurance?

Even if a business has only one employee, obtaining workers’ compensation insurance is mandatory. That being said, even if you are in a state where this type of insurance is not required by law, you should still think about the well-being of your employees.

Showing your employees that you care about them will take your business on a long and successful journey. In addition to that, if an employee gets injured at work, you might be liable for hefty legal and medical costs.

Final Thoughts

Now that you understand how workers’ compensation coverage works, you are prepared in the case of a work-related injury. If you are a business owner, make sure you understand the importance of obtaining this type of injury and how it can benefit your business.

Either way, paying a small monthly premium is never as costly as having to pay your employee out of pocket for missed wages or for work-related injury medical expenses.