Is Workers’ Compensation A Requirement?
In most states workers' compensation insurance is required by law and each state varies significantly. Specialists at The Hartford can help explain the specific obligations required by each state and help ensure businesses get the coverage they need.
Workers’ compensation insurance can help protect your business and employees in the event of the following:
- While walking up the stairs to the office, an employee slips on ice and injures herself requiring an ER visit, plus weeks of recovery time.
- Employee injures her back lifting a box of printer paper and requires a doctor’s attention, medication and physical therapy.
- Employee is injured in a car accident while returning to the office after visiting a patient; requiring hospitalization.
How Does Workers’ Comp Work?
When employees suffer work related injuries or illnesses, Workers' Compensation protection assists in covering wages and medical benefits, giving employees access to quality care at each and every step of their recovery.
We have programs designed to support your practice or medical facility, promoting employee safety and well-being, while helping to get personnel back to work as soon as reasonably possible; or if necessary, to other transitional work, training for new skills included. When an employee can't return to work, long-term benefits are available too.
How Much is Workers’ Comp Insurance?
Despite the variability in most states, all insurance companies base Workers' Compensation premiums on the amount of payroll an employer has as well as how dangerous the work is.
Some larger employers will be impacted by their past claims experience with premium credits for low claim experience and increased premiums for those with more claims. Although cost is based on payroll, rates vary by state as well as based on the type of work employees are engaged in and the practice's claims history. With regard to many business-specific elements factored into the actual premium calculation, this simple formula is the basis for determining the cost workers’ compensation premiums.
Workers Class. Code Rate X Experience Mod.# X (Payroll/$100) = Premium*
The Workers Classification Code rate is determined by the type of work performed by its employees and different types of work are charged different rates. States provide the basis for rates by classification code.
The Experience Modification is determined by the practice’s insurance claims history and is calculated by the state bureau and shared between all insurance carriers. The average modification is 1.00; a good claims history may generate mods below 1.00 while a company with a history of claims may have a mod greater than 1.00.
*The payroll figure is based on an estimate of annual payroll.
From Small Practices to Large Medical Groups
Whether you're a solo physician or an association, if you have employees you need Workers' Comp. As a part of our comprehensive insurance package, we have access to our robust system provide small and mid-size practice owners as well as large groups all the necessary attention that you and your employees need. We take pleasure in finding you the right workers' compensation coverage at the best rate possible.
Find out how you help your business and your employees by getting a quote today.
Would you like more information on how your practice can benefit from Workers' Compensation? Call us today (805) 499-7300.