Does Workers Comp Prevent You From Being Sued?
Posted in: Farmers
Workers compensation is a form of business insurance that is mandatory for many businesses as soon as they have at least three employees. Irrespective of the legal requirement, workers’ compensation insurance makes good business sense, from the moment you take on just one employee. To find out what type of insurance your TX business needs, your first step should be to contact a Texas insurance agency.
Workers’ compensation is designed to provide financial compensation if an employee is injured on the job. In general a successful workers’ compensation claim will include fees for medical expenses, and compensation for lost income while off work. It can also pay benefits to the families of workers killed in workplace accidents.
The benefits for the employee are obvious. For the employer, workers’ compensation is designed to stop you from being sued, and this is usually the case but there are a few situations where an employee may still sue regardless. These vary from state to state. Exceptions tend to involve circumstances where the employer has been seen to do something particularly damaging to the employee, employer action directly leading to employee injury or death, sexual harassment, intimidation or discontinuation of employment because of a workers’ compensation claim.
Businesses with no obligation to provide this type of insurance may do well to consider it anyway. After all, you might have no obligation to take out a business insurance policy to protect your business assets, but most business owners would be reluctant to risk not having one!