Managing Worker's Compensation Costs
Meeting the demands of Worker’s Compensation can be challenging. For employers from both large companies and small businesses, the cost of worker’s comp is a universal concern. Regardless of company size, businesses must carry worker’s compensation insurance to protect against liability. Injured workers have rights to compensation benefits. Failure to carry worker’s compensation insurance leaves an employer vulnerable to paying both compensation benefits out of pocket and state penalties if the state requires the insurance.
For the most part, worker’s compensation regulation is determined by each state individually. For specific regulations, you should check with your state. However, with few exceptions, States require most businesses to carry insurance for their employees.
The overall cost of worker’s compensation varies. Fortunately, there are strategies to manage its costs. The Info graphic below covers a few of the strategies.
Info graphic from CID Management