Workers’ Compensation Insurance for Contractors


What is Workers’ Comp?


Workers’ Compensation Insurance is a special type of insurance that is required to cover medical expenses, earnings, and other employee-related costs if an employee is injured on the job. It is different than liability insurance, which does not cover the costs related to employee injury. Due to the nature of the construction and building industry, there is an increased risk of injury or illness on the job. The costs associated with an employee’s injury can add up, so having comprehensive coverage is important to the overall operation of a construction company.

Workers’ Compensation Insurance can help protect your business in the event an employee does become injured while working for your business. If a construction company does not have work comp coverage, the owners of the company can be held accountable for the costs related to the employee’s injury. In order to protect themselves, as well as the assets associated with their business, construction company owners would be wise to invest in coverage as soon as they hire their first employee.


Why is it Important to have Workers’ Compensation Insurance in the Construction Industry?


The importance of being able to provide a safe environment for your employees cannot be understated. While many construction companies provide safety training for their employees, accidents do happen. Ensuring that you can cover the cost of an employee-related lawsuit or claim due to injury is vital to the continued operation of your construction company. These are just some of the benefits of comp coverage.

Workers’ Compensation coverage for contractors provides security and peace of mind to business owners, as well as employees. Having Workers’ Comp insurance means that your business is protected from paying medical expenses, wages, and legal fees in the event of a claim against your company for employee injuries. It means that your business can operate as usual while you are protecting your employees and dealing with any unforeseen circumstances that might arise throughout the life of your business operation.

Some construction companies only have one employee, the owners, and they have the option to get Workers’ Compensation coverage for themselves to help cover their costs in the event of an incident or accident. It’s important to understand what is required by law when you are a sole proprietor of a construction business, but if you have any number of employees beyond yourself, then you do need coverage.

This type of coverage is so important that it is required of all businesses operating in the United States. However, some states offer state-issued Workers’ Comp coverage, which means that companies in those states don’t have the choice of where to get insurance coverage.  California Workers’ Comp is not monopolized and construction companies, as well as any other kind of company in California, has their choice in Workers’ Compensation Insurance providers.


Keeping Workers Safe on the Job


While Workers’ Compensation Insurance will help cover the costs associated with employee-related injuries and illness related to the construction job, there are a number of things you can do as a business owner to help reduce the risk of these incidents. Always provide the most up-to-date and appropriate level of safety training for your construction industry. Ensure that all of your employees follow important safety protocols, including wearing the required personal protective equipment, and reporting any safety risks immediately for remedy. In addition, ensuring the construction site is regularly inspected, reports are filed properly, and make sure that all safety information is well posted and reviewed regularly. This information includes protocols for waste management, access to material safety data sheets for working with hazardous materials, and proper storage procedures for equipment when not in use.


We are Comp Specialists


Working with every time of business imaginable, our California insurance company has extensive knowledge of the insurance industry, the requirements, and laws associated with the insurance industry in California, and has a comprehensive understanding of the Workers’ Compensation Insurance rules and regulations. We can provide you with all of the information you need to make an informed decision about your employee coverage needs, liability insurance, Workers’ Compensation Insurance and much more.

Based on the number of employees you have working for your construction company, we will be able to tell you how much Workers’ Compensation Insurance you will need to protect your company’s assets and to protect you from personal liability in the event of an accident on the job.

Contact us today to talk about your Workers’ Compensation needs.