Workers' Compensation Basics

The workers compensation "bargain agreement"

Workers compensation is a type of insurance that pays a portion of the worker's salary and medical care when an injury occurs while working. This compensation is given in exchange for relinquishing the worker's right to sue their employer for negligence. This trade off is known as "the compensation bargain."

Employers are prohibited from doing any type of retaliating actions such as disciplining or firing employees as a result of filing for a workers compensation claim, or taking action against another employee who may assist someone else in their claim for worker's compensation. The process for filing a claim is:

1. Provide notification to the employer about the employee's injury, which is potentially compensable, by giving notice to the manager of the employee within 30 days of the date of the injury. If the employee is unable to give such notification such as in the case of a hospitalization, this requirement may be excused provided that the employer is aware of the injury.

2. The employer submits a report to the workman compensation insurance board and the insurance carrier who sets the workman's comp rates.

3. The insurance carrier then begins paying the employee the appropriate rate of compensation and medical bills.

 

Know what types of injuries workers comp covers

For workman's comp to cover an injury, the injury must have happened at work, and must also have been directly related to the job or work. In order to become more knowledgeable about workers compensation basics and the various types of injuries covered by it, businesses have invested in providing workers compensation seminars for their management staff. Through workers compensation training, employers are better able to identify potential risk areas associated with workers comp insurance claims and eliminate the risks.
Try: DisabilitySecrets.com addresses workers’ compensation basics, such as the types of injuries covered, compensation settlements, claims and attorney information. The New York State Workers Compensation Board also provides valuable information about workers comp.

Learn about the rate of compensation through workers comp

Compensable workman's comp monetary claims usually receive around 66%, or around two-thirds, of the employees regular salary or wages. However, they consider other issues that involve whether or not an employee's accident or injury-related damages are temporary or permanent, and partial or total.
Try: Each state has its own rules and regulations when it comes to the actual reimbursement rate for the injury. There are also special federal statutes and exclusions of coverage, which you can find at ExpertLaw. You can find State Specific Workers Compensation Forms at FindLaw.

Submit claims for possible compensation through workers comp within the statute of limitations

Most workers compensation laws indicate and require that an employee (or family member) file a claim for the benefits provided by workman's comp within one year of the date of the injured worker's accident. It is important to know the right periods for the state involved regarding workers compensation insurance claims and laws. For example, California has a one-year statute of limitation while Florida has a two-year period in which to file. It is important to be aware of each state's laws concerning workman comp eligibility and the workman's comp rates in order to assure a timely process within the appropriate period as directed by the state in which the filing is taking place.
Try: States differ in regards to the time frame for filing claims. An article on the International Risk Management Institute website addresses the importance of adhering to these timelines. For complete state-by-state information, WorkersCompensation.com gives complete and concise information.

 

• Every employee should get a copy of the workman's comp claim filed by the employer. If the workers comp insurance company denies the administration of benefits, the employee can move rapidly and file an application for an administrative hearing, which the state workers comp board will conduct.

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