An employee may become injured or ill from the nature of their job. In such cases, the worker may be eligible for workers’ compensation. Workers’ compensation ensures that an employee injured due to their job is taken care of and compensated for their illness or injury.
It is typically a requirement for businesses to buy workers’ compensation insurance for their employees. This assures injured workers have coverage for what they lost due to the injury. This article will address what workers’ compensation is all about.
What is Workers’ Compensation?
Workers’ compensation is a form of insurance coverage aimed at providing benefits to workers who suffered injury or illness due to their jobs.
It is a government-mandated program that assists workers who experience work-related injuries or illnesses. These benefits may include wages and healthcare benefits.
The National Institute for Occupational Safety and Health (NIOSH) states that most employers buy this insurance from private insurers but businesses may also purchase it from state-certified compensation insurance funds.
What Benefits Does Workers’ Compensation Insurance Cover?
Workers’ compensation insurance may cover the following benefits:
- Medical expenses, including hospital visits, medications, and emergency surgeries
- Lost wages. This occurs when an employee needs time away from work for recovery
- Disability benefits
- Ongoing care costs, such as physical therapy
- Death benefits, such as funeral costs and survivor benefits for the employee’s family
Are There Limits to Workers’ Compensation Insurance Coverage?
There are cases where a workers’ compensation claim may be denied. Some of these exclusions are highlighted below.
- Workers’ compensation coverage excludes commuting or traveling to and from work.
- In many states, workers’ compensation coverage is excluded in cases of injury resulting from intoxication or substance abuse.
- Workers’ compensation coverage may be excluded if an injury occurs during a fight with a colleague.
A Step-by-step Process of Filing a Workers’ Compensation Claim
“The first action for filing a claim for workers’ compensation involves the employee reporting an injury to their employer,” says attorney John Yannone of Price Benowitz Accident Injury Lawyers, LLP.
“It is important for a claim to begin sooner rather than later, as there may be certain deadlines or time-sensitive evidence that needs to be collected.”
The next action involves the employer guiding the injured employee through the required paperwork. Most states require employers to have employees fill out a form detailing their injuries. An employer will inform workers of their rights and workers’ compensation benefits.
After that, the employer will report the documentation of the injury to the workers’ compensation insurance carrier. A medical report will also be needed from the employee’s doctor. In addition, the employer may have to report the injury to their state’s workers’ compensation board.
Next, the claim will either be approved or denied by the insurer. The employer will contact the employee with payment details if the claim is approved. The employee can request a reconsideration or file a formal appeal if the claim is denied.
Employers usually implement a return-to-work program aimed at helping employees work productively still. The employee will then provide a written notice to their employer and the insurance company. Afterward, employees may return to work once they have recovered and can.
Conclusion
Workers’ compensation is a means to assist employees who encounter injury due to work. It involves providing benefits for injured employees to compensate them for their injuries and their effects on them. Above, we have looked at workers’ compensation and attempted to explain its basics.