Workers’ compensation provides financial support for an employee who is hurt on the job or from a work-related injury. If you own a business in California, you’re legally required to carry workers’ compensation, even if you have just one employee. Your employees are not allowed to contribute to your Worker’s compensation insurance. If an employee is injured on the job or falls ill because of a work-related incident, workers’ compensation covers the cost of medical care, as well as wages your employee may have lost resulting from the injury. It also protects your business from lawsuits that result from work-related injuries or illnesses.
The cost of your premium depends upon a few factors:
Workers’ compensation insurance covers a broad range of illnesses and injuries in the workplace. It pays out to cover hospital and medical expenses, as well as any disability payments while an employee is unable to work. Common workers’ compensation claims include:
Even injuries that seem relatively minor can be costly over time. It’s important to carefully document all injuries and accidents in the workplace and carefully follow procedures to report injuries. Without proper documentation, your employees may struggle to receive coverage, and your business may be left vulnerable to lawsuits.
