The Benefits of Workers’ Compensation Insurance for Employees and Employers

Workers’ compensation insurance is among the most frequently purchased and essential parts of a business insurance portfolio. However, while these policies may be common, that does not mean they’re simple or straightforward. The financial protections and benefits of workers’ compensation coverage can be complicated and nuanced, but by fully understanding the details of their policies, employers can ensure they have the right insurance.

What Are the Benefits of Coverage for Employees?

When employees are on the job, they may constantly be exposed to various risks and perils. Even in relatively safe industries and work settings, such as office environments, there are inherent dangers. For example, wet floors and coffee makers could cause falls or inflict burns. Fortunately, your workers’ compensation insurance policy can assist with the following:

• Medical expenses—If a work-related injury or illness requires an employee to seek health care services, your policy may help them manage their bills.

• Lost wages—An injury or illness could force an employee to miss work, but the right coverage can reimburse them for money they would have earned.

• Disability benefits—Workers’ compensation insurance may provide ongoing income replacement if workers develop a temporary or permanent disability due to work-related ailments.

• Vocational rehabilitation—If an employee is unable to return to their job, coverage may help pay for training and education costs while they seek a new position.

• Death benefits—Coverage may help compensate next of kin if an on-the-job incident proves fatal.

What Benefits Can Employers Receive?

Workers’ compensation insurance also typically includes employer’s liability coverage. This can be crucial, as employees may decide to file a lawsuit against their workplace following on-the-job injuries and illnesses. In response to such situations, the right policy can help employers manage the following potential losses and expenses:

• Attorney fees

• Court costs

• Settlements

• Judgments

Even if an employer is absolved of any wrongdoing, setting the record straight can incur significant costs. Furthermore, lacking the ability to respond to these accusations could have devastating reputational consequences.

Workers’ Compensation Insurance in Littleton, NH

Contact Hunkins & Eaton Insurance Agency today to learn more about this critical type of coverage or to compare personalized quotes.

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.