Ways to Know if You Need Workers Compensation Insurance

​Workers’ compensation insurance is a policy required by the government for most businesses. In the case of the construction industry, it is prescribed since the risks at the workplace is high. It will cover everything that your employees might need in case of workplace injuries such as medical bills, lost wages, and rehabilitation costs. However, getting one is not cheap, so you must assess what kind of protection you need first.

What the Insurance Covers
All of your employees are covered in the policy, regardless if they are part-timers or regular employees, as long as the injury occurred at the workplace during their job. The coverage is required in 49 states out of fifty, with Texas being the only exception. However, if your construction business is working for the government, then you are still required to have it. Most coverage varies per state, with some overlapping provisions.

Some of the standard coverage among the states is income replacement, medical expenses, burial costs, and death benefits. If a living relative of your employee tries to sue your company for negligence, the prices for your defense or any settlements will also be covered by the policy.

What the Insurance Does Not Cover
The policy only allows claims if the injury of the employee is work-related. This refers to those that happened in the workplace, on a client’s location, or on the way to the client’s site. Different states have different definitions of what is considered to be a work-related injury.

Most of the time, insurance providers deny claims for the following reasons: self-inflicted injuries, injury caused by employee roughhousing, an injury sustained while commuting, and drug or alcohol-related injuries.

What the Insurance is Right For
As long as your business is hiring others to do their work, it is advisable to have workers' compensation insurance. Without it, you are prone to lawsuits and might need to pay unnecessary costs. On the other hand, failure to provide a policy for your employees might translate to fines or jail time.

Being a part of the high-risk industries or being a subcontractor means that your employees are prone to injuries on the job. You can protect your business from lawsuits by providing them with the right compensation insurance.

At CSIS Insurance Services, Inc, we aim to provide comprehensive insurance policies that make your life easier. We want to help you get the insurance that fits your needs. You can get more information about our products and services by calling our agency at (888) 501-2747. Get your free quote today by CLICKING HERE.