Whether you're a business owner, contractor, or employee, most likely you take job safetyand on-the-job injuriesseriously. But many people have incomplete or incorrect information about Workers Compensation Insurance, which is designed to support both employers and workers when an injury does occur. Take the time to read about some common misconceptions about Workers' Compensation Insurance, and set the record straight.
Myth 1: If you want to file a claim, the injury needs to have happened on site.
Truth: If an employee gets injured while conducting business, they have standing to file a claim, whether it occurred at your place of business, en route to a business-related event, or completely off-site. This matters because you can't always minimize an employee's risk while they're at a regional conference or on their way to meet a client, the same way you could if they were in the office.
Myth 2: Workers' Compensation only covers medical bills
Truth: Workers' Compensation insurance can go well beyond medical bills, covering wage replacement, vocational rehabilitation services, and other damages. Without Workers' Compensation, an employee can take legal action to get their employer to pay for these damages.
Myth 3: If an employee gets a minor injury, it's not worth reporting.
Truth: Prompt and accurate reporting is often a condition of having a Workers' Compensation policy. What's more, injuries that seem minor at first may develop into something more serious and require expensive treatment. Not reporting these injuries may put your policy in jeopardy and can also keep your employees from getting the care they need.
Myth 4: Any injury that is work-related will be covered by Workers' Compensation
Truth: Some situations may disqualify an employee who gets injured from receiving Workers' Compensation benefits. These include injuries that happen while an employee is under the influence of drugs or alcohol or while committing a crime; injuries that occur because an employee begins a fight; or injuries that are self-inflicted. Mental health and psychological conditions are sometimes covered, but only in specific states and under narrow circumstances. Both employers and employees should understand when an injury will be covered under their policy, and when it won't be.
Myth 5: You don't need coverage
Truth: It's true that not all states require business owners to have Workers' Compensation coverage, and that in some very limited circumstances, it may not be completely necessary. But even for sole proprietors, businesses with very few employees, or businesses who only work with contractors, there may be some very good reasons to obtain Workers' Compensation insurance. Some clients may not work with you unless you have a policy, because if you get injured, they could be liable. Be sure to find out the requirements for your state, and then weigh the pros and cons to determine whether Workers' Compensation insurance is in the best interest of you and your livelihood.
For any business insurance questions, call or contact InSouth Insurance Services today.