Workers compensation insurance is a coverage plan designed to help employers pay the medical expenses of employees injured on the job. This can help save your business from lawsuits, may be mandatory in your state and can help your employees feel more confident in their personal safety.
It Might Be Mandatory
One thing to keep in mind about workers compensation insurance sacramento ca plans is that you may be mandated by the state or federal government to have one. Most areas require businesses with a certain number of employees to carry workers comp. This will vary by state and violations can result in a loss of your business license or fines.
It Can Be a Good Investment
The money you put into your workers comp is the pool of funds that covers on-the-job injuries for your employees. Without those funds, you could face lawsuits and have to pay for medical expenses from your working capital. This can be a tough burden to carry and some companies will not be able to bounce back after an accident.
It Helps Take Care of Your People
You have a lot invested in your employees. Not only have you trained them according to the needs of your company, but you would have to shut down if they left for a different job. It makes sense to invest in their safety by providing workers compensation and by enacting safety precautions. Some safety precautions can even help you lower your insurance rates for workers comp, general liability and more.
Having workers compensation insurance for your employees may or may not be mandated for a company of your size, but it is a good idea to invest in a plan anyway. This is because it can cover medical costs from accidents on the job which would otherwise come out of your working capital. It can also help you find ways to improve the safety of your workplace.