When it comes to business insurance, everyone knows they need general liability insurance and property insurance to protect them, however workers comp seems to always get put on the back burner. The question becomes, why would you put one of the most important insurance coverage’s on the back burner?
Most people have a misconception about what workman’s comp does or what it covers. Workman’s comp covers any and all injuries to an employee during the course of employment. It does not matter who’s fault it is (with the exception of a couple exclusions with the employee) or how it happened. If an employee is injured in an auto accident, THEY ARE NOT COVERED BY THE AUTO INSURANCE CARRIER. Now if the employee was not at fault in the accident, then the work comp company would subrogate (get reimbursement from the other parties insurance carrier to get the money back), but they would still handle the claim. Workman’s comp insurance will handle everything from paying for any doctor’s visits, emergency room visits, surgeries, rehab, lost wages, etc that the employee may need after the injury. This also protects the employer from any lawsuits from the employee that may arise. Work comp is the insurance of last resort. That means that as long as the employer has the coverage they are completely protected in the event an employee gets hurt.
The one main thing that employers need to remember is, you can help control general liability claims by being more careful around your business, you can help control property claims by being more careful around the building and making sure everything works properly to help avoid a fire or other disaster. The one thing you can not control is what employees do. Not to say they would do anything on purpose (although it does happen) but you may tell them not to do something and they do it anyway while trying to get something done and something happens. They may try to pick something up that is too heavy and hurt their back, they may be driving somewhere and get in an accident. There is nothing that the employer can do to protect themselves from an accident like this occurring.
In the end, work comp is one of the the most important coverage’s a business can have. Especially with the way the laws are written in the State of Louisiana, you want to make sure that you leave nothing to chance when it comes to protecting your business from a claim. I do know that paying for insurance is no fun and no one enjoys doing it, however would it be more fun to close your business and lose your life savings because of a claim that could have easily been protected?
For more information regarding workman’s comp insurance or to request a quote, please visit our website or call us at 985-892-3101.