Workers’ Compensation Insurance
What is workers’ compensation insurance?
Workers’ compensation insurance covers medical costs and lost wages for work-related injuries and illnesses. This policy is required in almost every state for businesses that have employees.
Why do you need commercial auto insurance?
For almost all businesses in the United States, yes. Workers’ compensation insurance usually isn’t optional.
While workers’ comp laws vary by state, small businesses typically need a policy in place as soon as they hire their first employee.
Even when not required by law, this policy provides important protection against medical expenses and employee lawsuits related to workplace injuries.
You can rely on workers’ comp if you or an employee needs medical care or time off due to a workplace injury – or if an injured employee sues you for failing to prevent an accident.
If you don’t carry workers’ comp, your business will be responsible for any medical bills and legal fees. And most states levy costly penalties for noncompliance.
What does workers’ compensation insurance cover?
Workers’ comp covers employees that get sick or injured while on the job. It includes death benefits, disability benefits, compensation for lost wages, medical expenses, and lawsuits.
Generally, all employees are covered by workers’ compensation. All non-military, federal employees are covered by the Federal Employment Compensation Act (FECA). Employees working for private companies are generally covered as most states require coverage. It is important to check with your employer and state to determine what kind of coverage you have.
Employment Practices Liability Insurance
This policy, also called EPLI, can cover legal expenses when an employee sues over discrimination, harassment, wrongful termination, and similar issues.
Directors and Officers Insurance
D&O insurance covers decisions made by directors, officers, and board members on behalf of the company. If they are sued, it may pay their legal expenses.
Identity Theft Insurance
Cover some of the costs related to identity theft. It reimburses victims for money spent on reclaiming their financial identities and repairing their credit reports. Those costs can range from phone bills to legal help.