Workers comp insurance also known as workers comp is a mandatory insurance that protects employees in case of illness or injury while on the job. Workers compensation also protects the employer from being sued by an injured employee. Workers compensation insurance is required to be carried by all employers in all states but the rules governing workers compensation vary from one state to the next.
One misconception many have workers compensation insurance is that it only covers employees while on the employer's property. It can also cover accidents and injuries elsewhere if the employee is conducting company business when injured. Some illnesses may also be covered.
Workers compensation insurance will cover all of the employee's medical bills, lost wages while unable to work and other money that is lost due to the accident. The insurance will make these payments no matter who is found to be at fault in the accident. Some states will allow the employer not to pay if the employee is found to be under the influence of drugs or alcohol. If a death occurs, it also pays a death benefit to the employee's family.
Work comp insurance offers other benefits depending on the type of injury and the severity of the injury. Some of the other benefits it may pay include disability benefits, voluntary rehabilitation, supplemental employment benefits, permanent disability benefits, temporary disability benefits and death benefits.
All workers are entitled to prompt care at the time of the accident no matter what type of care this calls for. It can range from physician care to hospital care, emergency room, ambulance services or whatever else is needed to protect the health of the employee. All of this is charged to the employer.
Workers compensation came into being after public outreach at the working conditions of most American workers. Most states implemented their workers comp laws around 1910 when California implemented their plan. This makes workers compensation older than Social Security and many of the other laws that we now have to protect workers.
Your employer must purchase their insurance from a reputable company or from the state in which the business is located to ensure that workers are given proper coverage. Worker comp is a no-fault insurance, which means that no blame has to be placed before the coverage starts. Workers compensation coverage is a right of all employees of all companies. When you start a job, you need to get all the details of the coverage your employer gives you.