Find out what workers compensation insurance covers.
As a business owner, you probably understand that workers compensation insurance is a type of coverage intended to protect your employees. But you may not know exactly what workers comp benefits covers. Here is a break down of how workers compensation protects your employees.
Medical Care Benefits
So long as an employee’s injuries or illness is related to their job, workers comp will cover their medical costs. This includes the following:
- Hospital pays
- Doctor appointments
- Medical treatments
- Medical equipment
Wage Replacement/Disability Benefits
If an injury keeps an employee out of work, then they may qualify for lost income benefits if they fall into one of the following categories of disability:
- Temporary total disability- When an injury prevents an employee from working at all, but only for a short amount of time.
- Temporary partial disability- When an injury prevents and employee from doing some of their work duties for a short amount of time.
- Permanent total disability- When an employee can no longer work their current job.
- Permanent partial disability- When an employee is permanently unable to do certain work duties.
The amount of benefit an employee will receive is based on what they earner prior to their injury. Generally, an employee will make about two-thirds of their wages.
Vocational Rehabilitation Benefits
Workers compensation insurance will also cover an injured employee’s rehabilitation (such as physical therapy) so they can make a full recovery. Additionally, if an employee requires special training to help them return to work or qualify for a new position, then workers comp can cover these costs as well.
Finally, if a work-related injury or illness results in an employee’s death, then the employee’s family might receive certain benefits such as:
- Funeral and burial expenses
- Financial support (usually a percentage of the dead employee’s wages)
Just be aware that some states might place restrictions on the relationships that qualify for these benefits.
These are the major benefits that employees can expect from workers compensation insurance. Do you have more questions regarding your workers comp coverage? We at PMC Insurance Group are experts on workers compensation insurance and can help you put the proper policies in place. Contact us today to learn more about getting competitive coverage for your small business clients.