If you are employed no matter what you do, you need to know about worker’s compensation insurance. Worker’s comp insurance is required by 49 out of the 50 states as a state-mandated type of coverage. If you suffer an illness or injury while working, it will pay your hospital or medical costs. In some cases, you might also be paid for lost wages. There are a few things that every employer and employee should know about workman’s compensation insurance.

Most Claims Are Legitimate

Most people have heard stories about employees making claims for things like a back injury or false illness. This is not the norm, even though it might seem like it. Only about 2% of workers file a false claim. These false claims are quickly caught and dealt with appropriately.

Most Employers Do Not Block Claims

Just like false claims, only a small percentage of employers don’t carry this insurance or actively try to block an employee’s claim. Since this insurance is mandated in almost all states, there is no point in paying for it and then attempting to keep employees from using worker’s comp insurance for a legitimate illness or injury.

Procedures and Rules Vary

Procedures and rules for claims and coverage vary from state to state and from industry to industry. The rules for a construction company or factory might differ from those for a legal or doctor’s office. Both employers and employees should know what the rules are for their state and their industry.

Employees Are Covered While Working

An employee does not necessarily have to be in an office or on a worksite to be covered by worker’s compensation. In fact, they are covered at any time they are performing work associated with their employment. This means that even if an employee works remotely, they are still covered.

Employer Rates Are Not Fixed

If you own a business, there are a few things that you can do to reduce your rates. Offering training, having safety gear available and employee wellness programs are ways employers can reduce rates.

Most Employee Injuries Are Covered

Most employee injuries and illnesses are covered as long as they happen as a result of performing work duties. It does not cover injuries while an employee is involved in a crime, while they are violating company procedures or rules and self-inflicted illness or injury. This is why worker’s compensation insurance investigates claims carefully.

Some Claims Are Wrongfully Denied

While many claims against worker’s comp are approved, some legitimate claims are denied. When this happens, you should consider getting a lawyer to help you with your claim. A lawyer who specializes in these types of claims can navigate the mountains of paperwork and other types of red tape.

Worker’s comp is designed to protect employees while they are performing their work-related duties. Sometimes accidents happen, and even though no one is at fault, it is important that medical costs and other expenses are covered, particularly if the injury is permanent. For worker’s compensation requirements, check out your individual state’s rules or hire an attorney to help.