Workers Compensation Insurance covers the lost wages and medical expenses of an employee who is injured on the job. It protects both the employee and the employer.
Why is injury the greatest exposure to business loss?
For most companies, injury to an employee is the most costly type of loss. For one, medical expenses are increasing annually, even the most minor of injuries can turn into a financial burden for the employer. And when a valuable employee is out of work due to an injury, the productivity of a business usually takes a hit. It's important to get your employees well and back at work as quickly as possible. Workers Compensation is designed to help employers with these issues.
Can I avoid paying out of pocket for employee injuries?
Absolutely. By purchasing workers compensation coverage your business, and other business like it, share the risk through an insurance company.
Why do I have to have coverage when the state doesn't require it?
Am I required to provide workers compensation to my employees?
The state of South Carolina requires an employer to provide workers compensation if the employer has four or more employees (with a few exceptions). Employers with fewer than four employees are still eligible to purchase workers compensation, and in many cases, workers compensation is required by written contract regardless of the number of employees.
What is the Rate?
The rate is numerical value assigned to a given risk. It is based on the type of business you operate, and your business' loss history. Typically the premium is determined by multiplying the rate by your exposure (percentage of payroll or production).