Workers compensation insurance

Call (855) 773-1100 HABLAMOS ESPAÑOLDo I really need Workers’ Compensation insurance for my contractingbusiness in California?In a nutshell, yes. You don’t just need it, you MUST have it to do business in California. It isrequired by California state law, even if you have only one employee. Some contractors need tocarry Workers’ Compensation insurance even if they have no employees but themselves. Eventemporary employees must be covered by your Workers’ Compensation policy.The reason is simple. Workers’ Compensation protects workers who are injured on the job ordevelop a work-related illness. It makes payments directly to workers to make up for some ofthe wages lost due to work-related injury or illness. It also helps pay their medical expenses,including rehabilitation costs. Without Workers’ Compensation insurance, employers areresponsible forpayingall costs stemming from a work-related accident or illness.In fact, if you don’t have Workers’ Compensation insurance for your contracting business youare breaking the law. Under California law, it is a misdemeanor and you could be fined as muchas $10,000 or sent to jail for up to a year. The state will also issue a stop order that prevents youfrom using any employee labor until you have a Workers’ Compensation policy.

Doesn’t the state of California provide Workers’ Compensationinsurance that I can buy?California requires you to have Workers’ Compensation coverage but it does not provide it. Youmust buy a Workers’ Compensation policy from an insurer licensed to do business in Californiaor you must become a self-insured employer. Only companies with a net worth of 5 million anda net annual income of $500,000 may become self-insured. Even then, approval from the stateand a security deposit are required. The vast majority of contractors purchase coverage throughan insurance agency or broker licensed to sell Workers’ Compensation policies in California.Do my employees contribute to the cost of Workers’ Compensationinsurance?Sorry, but no. California requires employers to pay for the Workers’ Compensation policy thatcovers their employees.

Isn’t there a lot of administrative work involved with Workers’Compensation?Small contractors often worry about having to do a lot of paperwork. Yes, there are a few thingsyou will have to do, but your insurance carrier will get you started and usually acts asadministrator. The state of California provides information for employers and employees on theDivision of Workers’ Compensation website.There is a posting requirement, which is easy to meet. When you receive the “Notice toEmployees” poster, simply hang it up in a place where employees will see it—maybe in a lunchor break area, or near the water cooler. There is also a pamphlet you must give to newemployees, explaining their rights and responsibilities if they suffer a work-related injury orillness.Your insurance carrier should give you a supply of claim forms that employees mustcomplete when a work-related injury or illness occurs. As the employer, you will also need tosubmit a report for each incident. There are tight deadlines for these items, so it’s important toact promptly.

What happens when an employee wants to come back to work but haswork restrictions?People are usually eager to get back to work after an injury or illness. And work is usuallyconsidered good therapy. But recovering employees may need to ease back into the workroutine rather than jumping back in with both feet. The treating doctor may say that anemployee can return to work, but with certain limits or work restrictions. The doctor’s reportwill say whether the employee can perform regular work, modified work, or alternative work.You might need to make some changes to the kind of work, or the amount of work, theemployee does. Or maybe you would need to change the way the work is done, or give theemployee a different job altogether. The goal is to work something out to make it possible foremployees to get back to work and get on with their lives.Why do employees have to go to specific doctors when they make aWorkers’ Compensation claim?California’s Division of Workers’ Compensation has approved certain groups of doctors, orMedical Provider Networks (MPN), to treat employees who have submitted Workers’Compensation claims. Each insurance carrier has its own MPNs, but some allow employees topre-designate their own personal doctor.Where can I go to learn more?

CONTACT US 2401 Highland Ave Ste 108 National City, CA 91950 Office: 855-773-1100 Fax: 619-336-3818 Call (855) 773-1100http://www.southernstateinsuranceservices.com/coverage/workers-compensation-insurance/