When you run a business, big or small, you have to consider every possibility that might occur in your workplace. You may have heard the phrase “workers’ comp” thrown around when considering accident liability. But what is workers’ compensation insurance?
It’s About Liability
To answer the question, “What is workers’ compensation insurance?” you first need to understand how liability works in workplace accidents and injuries. If a worker in your company is injured while doing their job as instructed, you may be held liable for their expenses resulting from the accident. This is where workers’ comp comes in. Workers’ compensation insurance takes care of those payments to your employee in exchange for a regularly paid premium. Just like any other form of insurance, risk assessments and statistics are taken into account in order to determine the level of your coverage, the cost of your premiums, and the available payouts to your employees. By investing in a good workers’ comp program, you can avoid losing large sums of company funds due to accident or injury.
So what is workers’ compensation insurance? It’s a valuable investment in your company and your employees. It’s protection when something goes wrong. It’s the security of knowing your employees and your company are taken care of in the event of an accident.