California Workers Compensation Insurance, Experience Mod Factors And The WCIRB
California Workers Compensation Insurance, Experience Mod Factors And The WCIRB
Worker's compensation insurance is an important concept for business owners and managers to understand. In the state of California, worker's compensation has several unique components that also need to be recognized and understood by the buyer and user of a policy. In this article, we will discuss the definition of workers' compensation insurance, often referred to as workers comp or simply work comp, and elaborate on those items specific to California work comp.
Worker's comp is a type of insurance that protects employees from injury or illness which occurs during the course of their employment. If an employee is hurt while performing a work related task, the employers worker's compensation policy will pay for the medical expenses. If the employee is unable to return to work for a period of time, this policy will also pay for lost income. This coverage is required by most states for all companies with employees.
In California, workers' comp is required for businesses that have employees. This not only includes high-risk jobs, but also low-risk occupations where injury and illness are unlikely. So how do the California workers' comp carriers determine what to charge each individual business? The California comp board develops a rating system of suggested premiums for each type of business. A contractor is charged one rate, an accountant another, and a salespeople another. Each of these is developed by analyzing the past claims filed by companies in that industry.
Some businesses may think of this rating system in terms of an Experience Modification Factor. The Experience Modification Factor (X-Mod) is an adjustment which is made to the workers' compensation insurance premium for companies that meet or exceed certain thresholds. The threshold is typically measured in total annual premium and varies from state to state. However, California along with several others states have their own rating system, and are thus somewhat unique.
California, in fact, uses the Workers' Compensation Insurance Rating Bureau of California (WCIRB). The WCIRB is a California based "unincorporated, private, nonprofit association comprised of all companies licensed to transact workers' compensation insurance in California, and has over 400 member companies. No state money is used to fund its operations. The operations of the WCIRB are funded primarily by membership fees and assessments."
For further information on California Worker's Comp, you can go to the CA.Gov website, Department of Industrial Relations. The Workers' Comp page offers extensive information on work comp including forms, California Division of Workers' Compensation office locations, fact sheets, claims dispute information and annual California work comp educational conferences. According to the Division of Workers' Compensation (DWC), they "monitor the administration of workers' compensation claims, and provide administrative and judicial services to assist in resolving disputes that arise in connection with claims for workers' compensation benefits. DWC's mission is to minimize the adverse impact of work-related injuries on California employees and employers."
To best determine how your business should choose a California work comp policy - you should consult with a business insurance specialist. A local California insurance agency can assist you in finding the best coverage for your needs, and make sure that your business is complying with the specific requirements of California worker's comp. Needing To Exchange Insurance providers? A Optimum Attraction Ideas In Feeling A Entertaining Trip In Tijuana watch mexico vs south africa live streaming on online HD tv | fifa world cup 2010 full coverage The Insurance Directory: Revolutionizing the Way Insurance Information is Acquired Is Disability Insurance Worth The Cost? Fire insurance - pros and cons list Fleet Insurance Information You Can Use Strictly Commercial: Business Interruption Insurance And Its Importance Having tankinis made in exclusive bra sizing's while offering more filling to produce full coverage Tips for Choosing Truck Trailer Insurance Learning about Business Insurance Coverage The Importance of Tow Truck Insurance Basic Steps to get Online Truck Insurance