If you own a business, you have almost certainly heard about worker’s compensation insurance. If you have employees, chances are you are already paying for a policy. If you aren’t, that could be a very real problem since it is required in most instances. Keep reading to learn important workers’ comp FAQs that every employer should know.

Who Needs To Have Worker’s Comp Insurance?

With very few exceptions, businesses that meet minimum employee thresholds are required to carry worker’s compensation insurance. A few examples of exceptions include independent contractors, small businesses without employees, and businesses in certain states, such as Texas, where coverage is optional.

What Does Worker’s Comp Cover?

Worker’s comp is critical for covering medical expenses, continuing care, and lost wages after a workplace accident or injury. Many also cover funeral expenses if a worker is killed as a result of the accident.

What Affect Premiums?

Your claims history, the number of covered employees, and your industry will all affect the premiums you pay. Workplace safety programs are a popular tool to help keep premium costs lower because they improve safety records and lower the number of claims filed.

Worker’s compensation is a commonly required coverage that can help pay for medical expenses if an employee is hurt or killed on the job.