Workers compensation insurance is a must if you want to build a strong safety net for your business. Whether you have a single employee or you have fifty, you need workers compensation insurance.
A lot of small business owners think that if their business does not revolve around fieldwork or manual labor that they can low ball their coverage. This can be a critical mistake in building that safety net you need to ensure your business stays financially viable.
Building Your Safety Net
Most small business owners understand that building a financial safety net is critical to the success of their business. The hard money part is easy to understand. If you generate $20,000 a month in income and, you want a 6- month cushion for the business you need to put back $120,000.
The part that many business owners do not fully comprehend is the need for a business insurance plan that includes workers compensation insurance. For some business owners in high-risk industries, the need for workers’ compensation insurance is clear. For business owners that are in low-risk industries, the need may not be quite as transparent.
In the high-risk industries like construction and manufacturing on the job injuries are common. In low-risk industries like office work or services that do not require fieldwork owners have a difficult time understanding why a good solid policy is a must.
Defining Workplace Injuries
Workplace injuries have a broad definition. For example, part of your administrative assistants’ job duties includes making deposits at the local bank. During one such errand, your administrative assistant gets into a car accident. That may be considered a work-related injury.
If a worker is injured performing their job duties and you have the business insurance Lexington everyone will be covered. Not every injury sustained at work happens in high-risk industries.
It is the Law!
According to the law you have to offer your employees’ workers’ compensation insurance. This type of insurance is good for employees and it is good for the business. If a worker is injured their medical bills will be paid and other costs will be covered.
As a small business owner the additional costs of medical bills and compensation payments without insurance could derail the business quickly. Workers compensation insurance is a law because it protects everyone.
It is Also Peace of Mind
One of the goals of creating a business safety net is to have peace of mind knowing your business is protected and can sustain. The right insurance plan from a trusted source will deliver peace of mind. With the right business insurance, you can focus more on growing your business and less on worrying about your business. Make sure you understand the different types of business insurance available and how they can protect your business.
