No employer likes to imagine that their employees might be injured on the job, but accidents happen no matter how many safety precautions are in place. In fact, workplace injuries are more common than you might think: Every year, more than 4 million Americans get hurt at work.
That’s why California state law mandates that any company with even one employee must carry workers compensation insurance.
Workers’ Compensation Coverage Options
Workers comp insurance is designed to help both employees and employers. It provides injured employees with financial, medical, and rehabilitative care benefits. Coverage may include medical care, prescriptions, physical therapy and partial compensation for lost wages.
Workers comp may cover:
- Injuries sustained at the workplace through accidents, natural disasters or violence
- Injuries sustained while an employee is engaged in work-related activities outside of the workplace
- Certain occupational illnesses that result from employment, such as damage from exposure to hazardous chemicals
- Death benefits for workers’ dependents
In most cases, employees receive workers compensation benefits regardless of who was at fault. For instance, covered incidents may include slipping on a wet floor, injuries sustained while lifting heavy objects, or being burned in a fire.
Workers comp also protects employers from incurring loss due to work related injuries or illnesses. In addition, it offers coverage for lawsuits initiated by injured employees or lawsuits over workplace conditions that might lead to injury or illness.