Workers’ compensation law is designed to protect employees and employers, providing medical treatment for work-related injuries, illness or disease, as well as payment for lost wages associated with such injuries. While most states require employers to carry workers’ compensation insurance, many choose to voluntarily maintain coverage as well.
Employees Covered by Workers’ Compensation
Injured or ill workers are entitled to medical benefits to pay for their medical care, hospital bills and medication. These benefits are provided to a worker as an indemnity benefit and are typically equal to one-half of the average weekly wage.
This benefit is a lifetime benefit and is designed to provide for the reasonable cost of medical treatment for an injured worker. It also includes reimbursement for mileage to travel to receive medical care, medicine and prosthetic devices.
Eligibility for workers’ compensation benefits depends on the state in which you live and your employment status. Generally, you must be employed full or part time by an employer to be eligible for workers’ comp. However, you may be able to receive workers’ comp benefits if you are hired as an independent contractor.
Your employer must give you written notice of workers’ compensation laws and the right to file a claim for benefits if you are hurt on the job. This notice must be given in a place that is readily accessible to employees. It must include a copy of the “Employer’s First Report of Injury or Illness” (Form 122e).
Employers who fail to carry workers’ compensation insurance are in violation of state law and may be subject to fines and prosecution. Illegally uninsured employers are also subject to the Uninsured Employers’ Benefit Trust Fund, which aims to reimburse employers for expenses related to workplace injuries.
Exemptions from workers’ compensation include farmers and agricultural employees; railroad/railway companies and their employees; employers who have a total annual payroll of less than $3,000 in the previous year; domestic and household servants in a family home with fewer than two full-time employees, real estate brokers and agents paid by commission, independent contractors who have no employees or who are covered by a contract carrier, and unpaid officers and board members of nonprofit organizations.
In addition to covering workers’ compensation claims, the workers’ compensation system provides for a variety of other benefits that can be accessed by injured or sick workers. These include disability income benefits, medical benefits and death benefits.
Depending on the specific circumstances, certain benefits can be offset by other federal and state benefit programs, such as Social Security or Medicare. In some cases, an injured or sick worker can receive both benefits at the same time.
The interaction of these various types of benefits can be complex and confusing, so it is important to seek professional advice if you think you might qualify for workers’ compensation or other benefits. A qualified lawyer will be able to answer your questions and help you get the most out of your claim.
