|
Author: Ian Asterbury Article source: http://employment-inc.com/. Used with author's permission.
The basics of workers compensation insurance
The thing most small businesses most commonly overlook about workers comp insurance is this: they need it. Unless you're in Texas , that is. The other 49 require small employers to cover their employees' lost wages and/or medical expenses in case they're hurt on the job.
Different states have different coverage requirements and mandate what percentage of an employee's salary must be paid in the case of work related injury. Also, some states allow small businesses of a specified size to self-insure their workers comp. This means that if a small business is small enough it may legally opt to pay for claims directly out of pocket. So if you've only got a handful of employees it might not be necessary to actually purchase a policy from an insurance company.
The confusion doesn't stop there. Some states don't require coverage for certain types of employees. Often the owner of the business doesn't need coverage as well as, unpaid volunteers and domestic employees.
Variation in Small Business Workers Comp Policies
Although there is a lot of variation from state to state, workers comp packages are fairly standardized from state to state. Nearly all basic packages cover: medical treatment, lost-wages and rehabilitation. Liability coverage is also fairly common and protects the policy holder from those pesky ambulance chasers.
What Options are Available to Small Businesses in Search of a Workers Comp Policy?
Surprise again, things are going to get a bit more complicated. Each state has a regulatory body that monitors workers compensation insurance. Most are regulated by the National Council on Compensation Insurance. Others have state-specific organizations that serve the same purpose. N. Dakota , Ohio , Washington , W. Virginia and Wyoming deliver workers compensation insurance through a monopolistic state fund.
If you find yourself in one of the five states with a single fund you're finished shopping for a carrier. You will however need to purchase your employer liability insurance through a separate commercial insurer.
If you find yourself in one of the other 45, you usually have a choice among the nation's largest insurers. Liberty Mutual, Travelers, Kemper and The Hartford are the most common.
If the big name insurers don't get your fancy then you may still have two more options: self insurance, as mentioned earlier, and state insurance pools. State pools usually attract the companies that are too risky for big name insurers. This is typically a last resort option for companies that can't get coverage anywhere else.
Nearly all of the states, 47, have the option of self-insuring. This option however requires the employer to assume all risk for work related injuries. Ian Asterbury is an assistant editor at Small Business Assistance - a resource for entrepreneurs that offers advice on business insurance, workers compensation insurance and an array of other small business topics.
Adult Men and Women Who Suffer From Chronic Depression
This article focuses on the 4.5 million American adult men and women who suffer from the debilitating disease of chronic depression. There is a new alternative ...
Picture Framing for Photographers - Part 2
In Part One of our framing series GARY LEETE discussed mount cutting and decoration. Now that you have a photograph hinged and in the mount you're ready to make...
You, 5.0: How To Master Any Skill Quickly
Many people would like to take on a new task or learn a new skill set, but have no idea of how to go about it. This brief, but very practical, manual for giving...
Adjustable Bed - Start Each Day on the Right Note
An adjustable bed comes in two basic types' latex foam and Innerspring and both types offer the same comfort in different ways. An adjustable bed is highly reco...
The Failure Misconception
We are taught that failure is the static result of unsuccessful actions. I believe this perspective is flawed, and that our journey toward our goals is an ongoi...
Odors Can Make or Break The Sale of Your Home
It's amazing how important the sense of smell is to many people. If you're selling your home, you need to be aware of the power of odors. An odor like cigarette...
Marketing to Editors
A happy editor is a buying editor. Make writing a full-time career by showing editors that they can rely on you. Find out how to make an editor come to you agai...
Aromatherapy Candles
Nothing turns a commonplace, ho-hum room into a radiant, inviting setting faster than the flicker of a few ordinary candles scattered strategically throughout t...
A Startling Fact About Losing Dangerous Belly Fat -- Without Exercise
Could this be "Exercise in a Pill?" A new discovery in Japan made headlines last November, when researchers reported large amounts of fat loss and increased mus...
The Secret of the Gamblers Fallacy
If there is no way to deduce the outcome of a random roll of the dice, then why play craps at all? The gambler's fallacy applies to randomness, and is correct i...
Writing Without Style
Style manuals are all well and good, and in fact, highly desirable for newspapers. The average reading level of newspaper readers is the sixth grade. Over the y...
The Quest for Passive Income
Passive Income, residuals, royalties three ways to get paid multiple times for a one-time effort. You write a song in 1970 it gets covered by many artists. Each...
Growing a Sustainable Garden!
Learn the simple basics of growing a sustainable vegetable garden. There's nothing magic or hard to understand, just follow the Pro's directions, and you'll ha...
Are 2 Dogs Better Than 1?
Before you decide to add another dog to the family, you should consider a few important things about your current dog: personality, sex, size, and age. They wil...
Does Your Organization Have a Learning Disability - Disability #1 – “I Am My Position”
Interaction and collaboration are keys to business success. Individuals grow and develop. Or NOT!
Fast Weight Loss Using Herbs And Spices
I wonder how much it is generally known that the benefits of
using herbs and spices can speed up your weight loss efforts,
by quite a considerable amount actu...
Lesser of Two Evils: Splenda or Equal?
Whether it's an act of hypocrisy or pure jealousy, Equal has slapped Splenda with a lawsuit claiming they have misled consumers into believing Splenda is a "nat...
Where to Find Free Jewish Dating Services
There are so many Jewish online dating sites that it would take a new initiate several years to fully try each and every one of them. By doing some research, th...
MLM Success Network Marketing Secrets - The MLM Power of Patience
Would you like some 5 BILLION dollar advice on Network Marketing success? Read on!
How to Choose Between Goldfish and KOI
Many people have asked us over the years "Should I add
goldfish or KOI (or both) to my pond? The answer is "it
depends."
No Money Down - How To Buy Property With Nothing Down
27 ways to buy property with no money down - nothing down! Reveals the mentality and areas to find "deals" to be successful in buying properties with little or ...
Copyright Infringement on the Internet
How do copyright thieves justify their dirty deeds to steal other author's work? One accomplished copywriter recently damned them on a major online article Blog...
I Hate My Logo! What You Should Get For Your Money and Why
Learn how greatly the symbolic significance of your corporate identity can impact your
business. This is a guide to educate you on how an experienced designer...
The Real Truth About Making Money on the Internet
Are you thinking about starting an online business? Have you already started one and you're not making the money you'd like to? If you answer yes to either of...
|
Print this page