Six Myths About Workers' Compensation Insurance

Workers Compensation Insurance is an important product for employees. There are six common myths that surround this insurance; debunking them can help you understand and maximize your benefits.

1. Small businesses don’t need to offer Workers’ Compensation Insurance.

You may work in a small business with only a few employees. Federal and state laws dictate that most businesses with one or more employees must carry Workers’ Compensation insurance. Be sure your employer carries this valuable coverage even if you are a solo employee, and review guidance for Small Employers Workers Compensation to understand specific rules that may apply.

2. I don’t need Worker’s Compensation insurance because my job is low-risk.

Some jobs, like construction, farming and commercial fishing, are dangerous. However, even low-risk jobs include injury and illness risks. You could develop carpal tunnel while typing or slip and fall in the break room during lunch. Employers typically pay lower premiums for low-risk jobs, but you should still ensure you’re covered no matter what type of work you perform.

3. I’m careful and won’t get hurt.

Even with an accident-free history, it only takes a second for an accident to happen. Some workplace injuries occur because of someone else’s actions. Make sure you are covered by Workers’ Compensation regardless of your careful track record.

4. My boss is like family, and I could never sue.

It’s good to have a positive relationship with your employer, but you are still an employee and covered by employer-employee rules. By law, employers are generally required to provide Workers’ Compensation. Having this coverage protects you and your dependents if you are injured or disabled and cannot work.

5. My boss will pay my work-related injury or illness expenses out-of-pocket.

Your boss might promise to pay medical, living, and other expenses if you’re injured on the job. Unfortunately, that arrangement may not hold up when claims grow large or affect multiple employees. Protect yourself with formal Workers’ Compensation coverage so expenses are handled through the proper channels.

6. Any pain I feel at work is eligible for Workers’ Compensation.

Not every ache or pain is covered. Before filing a claim, consider when and where the pain began. If it started from an activity or injury outside of work, it may not be eligible for a Workers’ Compensation claim.

Workers’ Compensation insurance is important. Understand these six myths as you make sure you’re covered; learn more about Workers' Compensation (Work Comp) or contact your Human Resources manager or insurance agent for details.

Frequently Asked Questions

Who is required to have workers' compensation coverage?

Most employers with one or more employees are required by state law to carry workers' compensation, but exact rules vary by state and business size.

What should I do immediately after a workplace injury?

Seek medical care if needed, report the injury to your employer as soon as possible, and follow your employer’s claim procedures.

Are repetitive strain injuries covered by workers' compensation?

Yes, many repetitive stress or occupational illnesses are covered if they arise out of and in the course of employment and meet your state's criteria.

Can I be fired for filing a workers' compensation claim?

Most states protect employees from retaliation for filing a valid workers' compensation claim, but protections and remedies vary.

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