Types of Workers Compensation Policies

If you work for someone other than yourself, chances are, your employer is required to have workers’ compensation insurance. These policies are available in all 50 states and are most often mandatory the moment a business hires its first employee. Here’s what you need to know about such policies.

Workers’ Compensation Policies: The Basics

Workers’ compensation insurance is designed to protect employees and the companies they work for. Workers receive benefits when they get hurt or sick on the job and, in exchange, forgo their right to sue for negligence. As a result, both sides benefit: Workers receive guaranteed compensation, while employers avoid potentially costly negligence lawsuits.

Types of Workers’ Compensation Policies

Each company is assigned a classification depending on the type of business they operate. For instance, a hardware store that sells products to retail customers will be classified as a retail hardware store. The premium businesses pay for coverage will vary based on their classification, the rate charged for that designation, and the company’s payroll.

Benefits Covered Under Workers’ Compensation Policies

Workers’ compensation coverage is afforded regardless of fault, meaning employees are generally eligible for benefits even if their own negligence contributed to their injuries. While state laws vary, these policies typically provide benefits for:

  • Medical Costs: Employees may receive coverage for doctor visits, hospital care, prescription medications, physical therapy, and other treatments.
  • Disability: Workers may receive partial replacement of lost income due to an on-the-job injury. Disability may be temporary or permanent, and partial or total.
  • Rehabilitation: Workers who are unable to return to their occupation may learn a new skill through vocational rehabilitation.
  • Death: The spouse, minor children, and other dependents of a worker killed on the job may receive financial compensation.

Contact a Workers’ Compensation Attorney

Businesses and their insurance policy carriers often fight tooth and nail to deny benefits to injured workers. The insurance carrier may reject a claim for any number of reasons, even if it is legitimate. A workers’ compensation attorney at Morgan & Morgan can help you through every step of the process and minimize the chances that your claim is denied. Contact us now to schedule a free case evaluation.

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