The safety of your employees is important, and they need to be protected should an unfortunate incident happen in the workplace. Workers’ compensation insurance assist in paying medical bills and income benefits for your employees that get injured while on the job. This type of insurance isn’t only necessary for your workers, but also provides legal support from any suits brought against you.
There are a few different types of benefits that workers’ compensation provides your employees, including:
- Disability income benefits: provides support to workers for a specified period of time and dollar limits according to state law.
- Lifetime medical benefits: pays for medical treatments of compensable injuries and illnesses.
- Funeral expenses: allows for payment of limited expenses for workers killed in your workplace.
- Death benefits: provides support for surviving dependents of employees killed in your workplace.
- Intentional or self-inflicted injuries
- Injuries resulting from employee drug use or intoxication
- “Acts of God” injuries – unless the job your employee is doing exposes them to a greater than ordinary risk of injury
- Injuries occurring while voluntarily participating in off-duty recreational, social, or sports events
- Injuries inflicted by someone else for personal reasons unrelated to employment.
We can assist you in setting up your workers’ compensation insurance.
Give us a call today at 713-666-3601.
I love my employees… But I have some additional questions.
Am I required by law to have workers’ compensation insurance?
No. Texas does not require private employers to carry workers’ compensation insurance. It is possible, however, that your clients require your workers to have workers’ compensation insurance, and in general, governmental entities you may contract with will require your employees to have workers’ compensation insurance.
If you decide not to invest in workers’ compensation insurance, then according to Texas state law you must:
- File an annual notice of no coverage with the Texas Department of Insurance.
- Prominently display notices of non-coverage in the personnel office and throughout the workplace.
- Give a written statement of non-coverage to each new employee.
What if I have an incredibly safe workplace, and can prove it? Can I get a lower premium?
As mentioned above, your premium is determined based on the category of business you are in, and also includes other factors such as your specific risk profile, number of employees, etc. Texas Department of Insurance does provide retrospective rating, however, that is an optional plan offering potential savings as an incentive of having a safe workplace. You are required to choose this option within the first 60 days of your policy period to be eligible.
With retrospective rating, your premium is adjusted six months after the end of your policy period, based on any claims that have been filed. Each subsequent year your premiums will then be adjusted, and you can be rewarded if your claims are low. If they are high, however, your premium could be raised. This option is generally only available if you have an annual workers’ compensation premium of at least $15,000.