Worker's Compensation Insurance

The Basics Of Worker’s Compensation

No fault Worker’s Compensation is a benefit paid to individuals that are unable to work due to a work related injury or illness. A potential claimant completes Worker’s Compensation forms provided by their employer and submits them. These forms are then forwarded to the company’s insurance company for assessment. The company’s insurance policy then covers the worker for medical expenses and also pays an amount in lieu of the employee’s salary while they are unable to work.

All Employer’s Must Have Worker’s Comp

Under California state law, any company or organization that has a single employee or more must have Worker’s Compensation insurance. A failure to have this insurance in place is against the law and the California state attempts to ensure that this never happens. As such, if you are a direct employee of a company then that company must have insurance in place to cover you for any illness or accident that may occur as a result of your time at work.

Will A Case Be Disputed?

Many Worker’s Compensation claims are filed and awarded without incident. The employer’s insurance company agrees to make the payment, and once the employee is fit and able to resume employment they go back to work. However, this isn’t always the case. Some claims can become protracted when either a claimant attempts to make an unreasonable claim or when an insurance company attempts to dispute a claim that has been made. In these instances, the claim may well need to be settled in court.

Hiring A Worker’s Comp Attorney

While it may not be necessary to hire a Worker’s Comp attorney for every case, it is often advised that you do so. They can certainly help to ensure that you are treated fairly, receive what you are entitled to, and they will become invaluable should the insurance company attempt to dispute a claim.

How Much Does Worker’s Compensation Pay?

Typically, Worker’s Compensation is equivalent to 66 percent, or two thirds, of your regular salary. However this can be adjusted depending on the severity of the injury or illness and whether it is permanent or temporary. In cases where an employee can return to work but in a limited capacity earning a lower wage, the Worker’s Compensation will usually pay the difference between the two wages.

Lump Sum Payments

Sometimes, a lump sum may be awarded. Usually these are offered as an alternative to a regular payment and the total sum will again depend on severity and the potential length of the disability. In the case of a permanent disability arising from a work related injury or illness, the lump sum is normally calculated according to the potential lifetime earnings of the employee.

When To File A Claim

It is possible to file a Worker’s Compensation claim as soon as you become injured or ill. This ensures that your employer, or their insurance company, will pay the immediate and ongoing medical costs for any treatment you receive. If you believe you are eligible for Worker’s Compensation it is best to apply as soon as possible because some insurance companies view a substantial delay as being a red flag against your claim.