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Workers' Compensation


Workers Compensation

What is Workers' Compensation?

Workers' compensation is a form of insurance providing wage replacement and medical benefits to employees injured in the course of employment in exchange for mandatory relinquishment of the employee's right to sue their employer for the tort of negligence.

How does the workers compensation work?

A. Workerscomp insurance provides five basic benefits: Medical care: Paid for by your employer to help you recover from an injury or illness caused by work. Temporary disability benefits: Payments if you lose wages because your injury prevents you from doing your usual job while recovering.

How much do you get for workers compensation?

Depending on the laws in your state, you are likely eligible for regular time loss compensation benefits if you are unable to work as a result of your industrial injuries. The amount you will receive is a percentage of your wages at the date of injury. In many states, the percentage is 66 2/3%.

What does a workers compensation policy cover?

Workerscomp does pay hospital and medical expenses that are necessary to diagnose and treat your injury. But it also provides disability payments while you are unable to work (typically, about two-thirds of your regular salary), and may pay forrehabilitation, retraining, and other benefits as well.

How do you calculate workers compensation premiums?

Workerscomp insurance premiums are calculated according to how employees are classified (with regards to the specific type of work they perform) and the rateassigned to each employee classification. The premium rate itself is expressed as dollars and cents per $100 dollars of payroll for each class code.

Do I get paid if I get injured at work?

Medical care must be paid for by your employer if you get hurt on the job—whether or not you miss time from work. You may be eligible to receive benefits even if you are a temporary or part-time worker. You may be covered by workers' compensation as an employee even if you are called an “independent contractor.”