subject: How To Purchase Advantageous Workers Compensation Insurance Policies At Affordable Rates [print this page] Workers compensation insurance is a system mandated by law to protect employees in the eventuality of a workplace injury or accident. Any business owner that has employees working for him is obligated under common law to protect themselves and their employees in case of accidents or workplace injuries. While some occupations are assigned higher risk classifications (determined by the frequency and severity of on-the-job injuries), there are common factors that determine the final amount of workers compensation insurance policies, including the nature of your business and the risk level of the job performed.
This type of insurance is regulated by state governments, so the requirements and premiums are likely to vary depending on location. In general, almost all states require almost all types of businesses to hold workers compensation insurance policies that cover the costs of workplace injuries, including accidental injuries and occupational diseases arising during or in the scope of employment. However, the law doesnt provide coverage for accidents and conditions including mental illnesses caused by stress, pain and suffering, a particular work related condition that determines one employee to have fear towards another employee of a particular sex, gender, race, religion, etc.
For example, Florida workers compensation insurance policies should be purchased by any business owner who works in the construction industry and has one or more employees. For any other industry except construction, any company with 4 or more employees must provide workers compensation coverage. In Florida, an employer can obtain workers compensation insurance by either purchasing it from reliable and trustworthy insurance companies, by qualifying as an individual self-insured or by signing a contract with an employer organization that already provides coverage for employees.
Ways of Reducing Workers Compensation Insurance Rates
Increasing health insurance coverage for employees
Performing regular safety checks
Decreasing risks of employees tasks
Providing education and training to employees
Emphasizing on safety work behavior and procedures
Maintaining a safe workplace and making safety your first priority will cause the number of injuries to go down. Ensuring a safer workplace means the risk of filing claims will be lower and, as it happens with any other type of insurance policy, the lower the risk, the lower your premiums will be.
The amount of coverage needed by every employee depends on the type of work he performs and the safety rating of your company- the riskier the job, the higher the premiums will be. For example, an office clerk needs less coverage than a construction site worker; however, almost any type of coverage can be decreased by ensuring the necessary safety standards and taking the legal safety precautions.
Not purchasing Florida Workers Compensation insurance policies puts every business and company owner at great risk in case of injuries or accidents at the workplace. In addition, each state performs regular audits to make sure that all companies with a specific number of employees are carrying the needed level of workers compensation coverage.
by: Shaly Criston
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