Workers Comp Insurance Basics

Workers’ compensation, or workers’ comp for short, refers to money an employee may be entitled to collect if they are injured while doing their job. Common reasons that hotels’ workers’ comp is paid are back injuries, sprains, and falls. Having workers’ comp insurance is beneficial to businesses as well as employees. The business is protected from lawsuits, and the employees can rest easy knowing that they will be able to afford to cover their medical bills if they get injured on the job.

Workers’ comp insurance requirements vary by state, though many states do have laws requiring businesses to have some form of workers’ comp insurance. For instance, some states require policies that cover all employees of a company while other states may only require policies that are more specific cover certain employees, such as those who have worked with a company for a given length of time or who work a particular number of hours per week.

Coverage varies depending on the policy a business chooses. There are some similarities among policies, however – for example, hotels’ workers’ comp insurance policies will not cover employees who are injured on the job due to violating company policy or being under the influence of drugs or alcohol. It is important to understand the specific coverage afforded by different policies before settling on the best one for a particular business.