What is Workers’ Compensation?
This type of insurance covers employees against job-related injuries and illnesses, as well as certain medical expenses, lost income, and rehabilitation expenses. It also pays a death benefit to heirs of an employee who dies from a job-related injury or illness. This insurance is usually required by every state although the requirements vary by state.
Why do I need this insurance?
“Employers have a legal responsibility to their employees to make the workplace safe. However, accidents happen even when every reasonable safety measure has been taken.
To protect you, the small business owner, from lawsuits resulting from workplace accidents and to provide medical care and compensation for lost income to employees hurt in workplace accidents, in almost every state, businesses are required to buy workers compensation insurance. Workers compensation insurance covers workers injured on the job, whether they’re hurt on the workplace premises or elsewhere, or in auto accidents while on business. It also covers work-related illnesses.”