Millions of workers in the U.S. are covered by workers’ compensation insurance. It’s mandatory in most states and provides benefits to employees who are injured or become ill as a result of their job. As an employer, it limits your risk exposure and protects you from potentially costly lawsuits that could put you out of business.
However, workers’ compensation is not always the only option for injured employees. They may be able to file a negligence claim against the employer outside of workers’ compensation. This is allowed in states without an exclusive remedy provision, which bars employees from suing their employers. Keep reading to find out how workers’ compensation and the exclusive remedy provision can protect YOUR business.
Why do I need workers’ compensation coverage?
Most states have made workers’ compensation mandatory, but employers should purchase workers’ compensation insurance for several other reasons.
- Workers’ compensation helps protect employers from civil lawsuits filed by injured employees. Wouldn’t you rather pay a small percentage of your payroll now for workers’ comp as opposed to going out of business as a result of getting sued?
- Workers’ compensation insurance helps ensure that employees receive the medical treatment and income replacement needed when injured or ill. This can help keep the business running when employees are unable to work.
- Workers’ compensation insurance provides financial assistance to the families of employees who die because of a job-related injury or illness. This can help protect the families of deceased employees and ensure that they do not experience financial hardship after the death of a loved one.
An employer should have workers’ compensation insurance to protect their business from the possibility of costly litigation and to ensure their workers receive the benefits they need in case of injury or illness.
What is the exclusive remedy provision?
The exclusive remedy provision is a part of workers’ compensation law that limits the options for employees who are injured or become ill because of their work. In states with an exclusive remedy provision, workers’ compensation serves as the sole legal remedy for employees who sustain job-related injuries or illnesses. In other words, they are barred from filing civil case against their employers for injuries.
Florida generally follows Exclusive Remedy laws, with two exceptions:
1) The employer does not carry workers’ compensation coverage.
2) The employer’s negligent acts that caused the injury are considered intentional.
It’s important for employers to be aware of their state’s workers’ compensation laws and whether there is an exclusive remedy provision in place.
Let the Exclusive Remedy Provision Work for You – Secure Workers’ Compensation Coverage with Zellner Insurance
Workers’ compensation is an efficient and effective way to handle injury and illness cases while keeping your business running smoothly. If your state has the exclusive remedy provision in place, you can also rest assured that workers injured on the job will not be able to file civil lawsuits against you.
Get workers’ compensation insurance to protect yourself and your business. We even offer a pay-as-you-go option! Click to contact Zellner Insurance now for a quote.