You may be surprised to learn that most employees don't understand what workers' compensation insurance is, or that they are even covered by this type of insurance. But in the grand scheme of things, this insurance may prove to be the most important coverage they ever had.
So what is workers' compensation insurance?
We will call it Work Comp going forward, 'cause that is how we roll. Work Comp is best described as a three trick pony, designed to provide employees injured at work with compensation for lost wages AND reimbursement of medical expenses, PLUS provide benefits payable to dependents of workers killed while at work. Prior to the creation of Work Comp, employees injured on the job had to take legal action against their employers to potentially obtain any monetary reimbursement. But with Work Comp's "no fault" system, employees who are legitimately injured while on the job receive benefits regardless of whose fault the injury is.
Example of a covered claim — Somehow you fell down the stairs at work (they were slippery, your heel broke, you were on your phone emailing and not paying attention) and injured yourself.
Example of a claim NOT covered — Your new hobby of Carnival Bear Wrestling isn't panning out so well, as your debut match against Bruno the Grizzly was lost... decisively.
Although Work Comp is mandatory insurance coverage, it is regulated differently from state to state — so obtaining cost effective coverage and administering the coverage can be very difficult and time consuming. This is where we come in.