Workers Compensation is required by law in every state except for Texas. However, the scope of the benefits and premium amounts vary greatly from state to state. While nearly every profession is covered, some are excluded from this coverage, such as farm laborers, domestic workers, musicians, and crop-dusting airplane crew members. Some states have even incorporated secondary injury funds to help injured workers get back to work after an injury, making it easier for employers to hire them again.
In addition to providing partial loss of wages and medical coverage, workers compensation insurance can also pay funeral expenses. It’s a great way to protect yourself in case you get injured on the job. Additionally, these policies include employer liability insurance, which will cover legal fees and lawsuit settlements if you’re sued. You’ll be protected in case you’re held responsible for an accident. This type of insurance can be invaluable in the event of an accident.
Injured workers can apply for wage replacement benefits, which are usually two-thirds of an employee’s average weekly wage. The benefits are tax-free and can be used to replace a missing or injured employee. Depending on the severity of the injury, you might need a temporary replacement, or modified duties. In the event you need to go on leave for more than a week, you may need to notify your employer. In some cases, insurance companies will require you to take time off work to receive full-time benefits.