PEO solutions help you with workers compensation

Let’s start defining what’s Workers’ compensation insurance, often called “workers comp,” and this is a state-mandated program consisting of payments required by law to be made to an employee who is injured or disabled while on duties.

The federal government does offer its own workers’ compensation insurance for federal employees, but every state has its own workers’ compensation insurance program.

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PEO solutions help you with workers compensation

As we have said, this insurance covers the costs of work-related injuries and different illnesses. You need to know that these systems also provide employers incentives to reduce work-related injury and prevention practices in order to reduce the possibility of workers getting sick.

A majority of employers buy workers’ compensation insurance coverage through private insurers or state-certified compensation insurance funds. These systems are complex and guided by state laws.

What type of company needs workers compensation?

If your company has at least one employee, you need workers’ comp insurance. In fact, many state laws require organizations to offer this coverage as soon as they hire their first employee.

However, there are a few exceptions, because there are states where workers’ compensation insurance is optional for employers, and in some other places workers’ compensation laws don’t require the coverage until a company hires its second or third employee.

If the case is that your business is located in a state that doesn’t require a workers’ comp insurance policy for just one employee, our suggestion is that you should still consider a policy for all your workforce since the very beginning of your operations.

Workers compensation insurance can also provide what follows

1 | Domestic assistance

2 | New employment assistance payments

3 | Education or training assistance payments

4 | Property damage claims

5 | Work break and journey claims

6 | Hearing impairment claims

7 | Uninsured employer claims

8 | Exempt worker claims (by police officers, firefighters and paramedics)

9 | Payments in the event of death

Now you understand more about workers compensation. We hope this information is helpful for you to make decisions. Midtown HR is the company behind a hundred happy companies. We´re focused on simple solutions for payroll and taxes, propose benefits that really feel like benefits, keep up with employment law and also help protect your team. Let’s talk!