If you run an engineering business, you likely already understand the risks involved. Engineering requires construction, and many accidents can happen during these situations, even when you put a lot of time and energy into safety and inspections. Accidental damage or injuries are not unheard of. One of the issues here is that you may end up needing to pay a lot of cash in damages, which may lead to a lack of profit.
The solution here is to make sure you have the correct coverage – coverage that covers all areas. One you may not yet have invested in (but should) is worker’s compensation. Find out everything you need to know about worker’s compensation for engineering businesses right here.
What is Worker Compensation?
Worker’s compensation is a type of engineering insurance that covers the expenses of a worker’s benefits and salary when they cannot go to work – specifically when they are injured or sick. When a worker is off sick, it can be challenging for the business to manage, especially smaller engineering businesses. Not only is the business left without the capable hands of one of their employees, but they must also keep paying the wages and potentially pay someone else to cover the shifts. With worker’s compensation, the financial aspect isn’t an issue.
What Worker Com@pensation Covers
The amount the worker receives depends on the specific circumstances, and it will only be covered if nobody is actually at fault – in other words, accidents. Here’s what good worker’s compensation will cover:
Medical Expenses: If the worker needs medical attention, worker’s compensation will pay for any necessary medical expenses.
Disability Benefits: In the case of a worker becoming disabled due to an accident at work, worker’s compensation will cover the disability benefits they will need to receive going forward.
Wages: When the worker cannot attend work and earn their living, the worker’s compensation will cover these wages so that they can still get paid while in recovery.
Lump-Sum Payments: If a worker sustains a serious permanent injury, worker’s compensation will cover the lump-sum payment the employee is entitled to.
Death Benefits: In the extremely unfortunate case when a worker dies at work due to an accident, death benefits will be covered by worker’s compensation. This will cover payments to the beneficiaries of the deceased, including life insurance and pension.
Is Worker’s Compensation Really Worth It?
Undoubtedly, yes. Unfortunately, accidents at work – specifically at engineering sites – are frequent. While it’s essential to do everything you can to prevent these for the safety of your workers, you cannot always foresee an accident happening. In this case, you don’t want your business to be in financial trouble, and worker’s compensation is the key here. Without it, your business is at a significant risk.
Final Thoughts
Worker’s compensation is a must-have type of insurance for every engineering business. The small payments for the compensation will be nothing compared to the amount needed to pay out if a worker sustains a serious injury while on site. When it covers everything from lost wages to medical expenses to death benefits, investing in it is a no-brainer.
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