Workers' Compensation

Workers’ compensation insurance provides medical and wage benefits to employees who are injured at work. Benefits vary state by state, but most cover medical expenses, lost wages during the time the employee is unable to work, and rehabilitation costs. Requirements also very by state, however, every employer who has employees should have workers’ compensation insurance.

While this varies state by state, most workers’ compensation insurance will cover medical expenses, lost wages, and rehabilitation costs to employees who are injured at work during the “scope of their job duties.” Benefits often include compensation to families in the event the workplace injury leads to a death.

Workers’ compensation laws will vary by state. However, most states require employers to have this insurance for all employees on their payroll, whether they are full-time, part-time, or seasonal. Employers pay workers’ compensation insurance with each payroll and the cost may vary depending on the cost of payroll.

Companies can manage the cost of their workers’ compensation by implementing a safety program, creating a return-to-work policy, and facilitating accurate investigations of workplace injuries. Employers should also make sure each employee is classified correctly with the appropriate workers’ compensation classification code. Each code is assigned to a rate which is a percentage of the employees’ payroll.

Employers are required to post a notice of workers’ compensation in an obvious location in the workplace. Employers should report the workplace injury as soon as possible. This is called a First Report of Injury and will be used by the insurance company to document the claim process. During the claims process, employers may also be asked to provide additional information regarding the injured employee and the incident.

Once an injury occurs, employers will need to complete a First Report of Injury for their insurance company. They will need to include the date of the injury, the names of the employee(s) involved, the time the injury took place, and any circumstances surrounding the injury. Employers will also need to fill out a claim form that your insurance provider will request after receiving the injury report form and any supporting documentation. Some states have their own state claims form to complete. Once all documentation is submitted to the insurance carrier, the claims process is initiated.

It is difficult to determine whether an injury to a remote employee is work-related. The best thing employers can do is train employees to report injuries as soon as possible and follow the same process you would if the employee was in-office. Your insurance company and claims department will determine whether the injury was job-related or not. To reduce the likelihood of telecommuting claims, employers should create remote work policies, including a guideline for home offices and home office safety checklists.