Workers’ Compensation Insurance
What Does Workers’ Compensation Insurance Mean?
Workers’ compensation insurance provides coverage for employees who are injured on the job or develop job-related illnesses. It allows employees to receive benefits for wage replacement, medical treatment, and disability or vocational rehabilitation resulting from work-related accidents and illnesses. For employers, this coverage offers protection against liabilities arising from these work-related incidents, helping to shield them from legal and financial consequences.
Insuranceopedia Explains Workers’ Compensation Insurance
One of the primary concerns for employers is maintaining safety on business premises and ensuring the well-being of employees at work. However, accidents can still happen, and employers cannot prevent every incident. To address this, workers’ compensation insurance provides a state-approved and mandated program that offers benefits to employees who are injured or become ill due to their work-related activities.
For employers, this coverage offers protection against financial losses resulting from work-related accidents and illnesses. For employees, it provides assurance that, in the event of unavoidable accidents while performing their duties, they will receive compensation for lost wages and other benefits.
