3 Essential Types of Workers' Compensation You Need to Know

When a worker is injured on the job and is unable to work, wage replacement coverage steps in. This type of compensation ensures that the employee receives payments to cover lost wages while they recover. However, this benefit only applies when the injury or illness is directly related to their work. Once the worker is fit to return, the payments stop. Keeping your employees financially secure during their recovery is crucial for morale and productivity, so having wage replacement coverage is a must.

This type of coverage is focused on the worker’s medical expenses following a workplace injury or illness. The workers' comp policy covers the costs of necessary medical treatments. In many cases, it also compensates workers for the time they miss from work due to their medical appointments and recovery. Having comprehensive medical coverage ensures that your employees can access the care they need without worrying about the financial burden.

In situations where an injured employee is dissatisfied with the compensation provided by their employer’s insurance, they have the option to pursue a settlement. This usually involves consulting with a lawyer to determine fair compensation for the injury. If the employee and the insurance provider can’t agree on a settlement, the case may be taken to court for resolution. As an employer, it’s important to be aware of this process to avoid prolonged disputes and ensure a fair outcome for all parties involved.

Workers' compensation is a critical aspect of ensuring a safe and supportive workplace. Understanding these three types of coverage can help you better protect your employees and your business.

If you need help navigating workers' comp or want to learn more about the different types of coverage, Contact Our Business today! We’re here to provide the guidance you need.