All companies, regardless of their stature, should have insurance policies designed to protect and care for workers who are injured on the job. Also known as workers’ compensation insurance, this kind of insurance is as beneficial to the employer as it is to their employees, as it will reduce the impact of any on-the-job injuries on the business. It can also protect the business from any lawsuits that arise from the incident.

For instance, if a worker trips, falls, and breaks their arm on the premises, they are entitled to workers comp. If they were running an errand for the company and got involved in an accident, they will find themselves similarly entitled. Workers compensation coverage is not necessarily dependent on whether the worker was at fault or not. Workers comp insurance is usually mandated by the state government, and this is why the terms of these policies vary from state to state.

Does Workers Compensation Insurance Cover Any and All Incidents?

While this insurance policy is meant to cover both employer and employee, there are limitations to the injuries and circumstances to which it applies.

For example, most states require that the employee be tested for drugs and alcohol to ascertain if they were under the influence of one or both when the incident occurred. If the tests indicate that said employee was working under the influence, it’s possible that the state would not approve the workers compensation. A worker that has intentionally injured themselves, or otherwise intentionally violated the law or company policy is also likely to see their claim denied.

Injuries that are not work-related, or are otherwise considered “acts of God” may also not qualify for coverage on their claim, though in the case of the latter, there are some job descriptions out there where these so-called “acts of God” may be covered.

Some examples include police officers injured by falling trees while trying to get trapped victims out, firefighters who sustain injuries while fighting forest fires and emergency personnel who get injured while trying to help earthquake victims. Although there may be no one other than God to place at fault, it’s understood that these are risk factors that are only encountered due to the nature of the work.

What Expenses Will Workers Comp Take Care Of?

Workers’ comp isn’t a shortcut to a windfall, but it can cover the following for those who need it:

  • Medical expenses for injuries sustained while on the job
  • Lost income due to the injury or recovery
  • Expenses associated with any necessary training or re-training for the employee
  • Permanent injuries sustained during work-related activities
  • Benefits paid to the survivors of employees who die due to work-related injury or illness​​

Also note that workers compensation also extends to workers with permanent or long-term injuries sustained or accumulated over time, as is the case of carpal tunnel syndrome and other repetitive injuries.

It is also important for you to know that some states exclude certain professions and occupations from workers’ compensation insurance. Some of these include farmers, volunteers, casual staff, railroad employees and maritime workers, to mention a few. For more information about workers’ compensation insurance and how it pertains to your business and employees, contact Oros Risk Solutions. They will be able to assist you in determining the insurance needs for your state and industry in order to protect your business and the people who help you take care of it.