Workers Compensation
Jim Rice TOTAL Insurance, Inc.
Do I need workers compensation insurance?

Employers have a legal responsibility to their employees to make the workplace
safe. However, accidents happen even when every reasonable safety measure has
been taken.

To protect employers from lawsuits resulting from workplace accidents and to
provide medical care and compensation for lost income to employees hurt in
workplace accidents, in almost every state, businesses are required to buy workers
compensation insurance. Workers compensation insurance covers workers injured
on the job, whether they're hurt on the workplace premises or elsewhere, or in auto
accidents while on business. It also covers work-related illnesses.

Workers compensation provides payments to injured workers, without regard to who
was at fault in the accident, for time lost from work and for medical and rehabilitation
services. It also provides death benefits to surviving spouses and dependents.

Each state has different laws governing the amount and duration of lost income
benefits, the provision of medical and rehabilitation services and how the system is
administered. For example, in most states there are regulations that cover whether
the worker or employer can choose the doctor who treats the injuries and how
disputes about benefits are resolved.

Workers compensation insurance must be bought as a separate policy. Although
in-home business and business owners policies (BOPs) are sold as package policies,
they don't include coverage for workers' injuries.