Workers’ Compensation Insurance Coverage
Workers’ compensation laws were created to ensure that employees who are injured on the job are provided with fixed monetary awards. This eliminates the need for litigation and creates an easier process for the employee. It also helps control the financial risks for employers since many states limit the amount an injured employee can recover from an employer. Workers’ Compensation Insurance is designed to help companies pay these benefits. As a protection for employees, most states require that employers carry some form of Workers’ Compensation Insurance. Workers’ Compensation Insurance is not health insurance. Workers’ Compensation is designed specifically for injuries sustained on the job. Workers’ compensation insurance must be bought as a separate policy.