Workers' Compensation Insurance is a safety net for both workers and employers. It is designed to cover when an employee gets hurt on the job, by covering medical expenses, loss of wages, and other related costs. It doesn't matter who's at fault - it's a “no-fault system.”
It also protects employers by avoiding lawsuits and having to pay out of pocket for medical bills, loss of wages, and legal expenses. It’s also illegal for any employer not to have insurance and violators can get fined and even time in jail.
The cost of Workers' Compensation depends on a business’s total amount of payroll, the number of employees it has, and how risky its employee's work is (for example, it’s more expensive to insure a roofer than an office clerk). The rate is also affected by the “Experience Modification” which increases or decreases the insurance costs based on claims reported in the past.
If you have questions about Worker’s Compensation Insurance or want a quote, please visit our office in Bell Gardens or contact Rafael Arredondo at 323-773-4429.