Running a successful business takes a lot of hard work, especially in the light of the many threats which any company faces on a daily basis. One of the biggest, most expensive threats your business could possible face is workers compensation fraud. This issue could arise in several different forms, each one impacting your business in a negative manner. Some of the most common fraud problems include:
The most common sort of workers compensation fraud is simply lying about an injury. Sometimes, employees claim to have an injury that doesn’t exist, putting your company’s finances in danger. Other employees might actually have an injury, but it might have originated somewhere off of the premises. This means you’re paying out benefits and claims you had no control over, which is never a good thing.
If workers are injured when performing their duties in an unsafe, unapproved manner, then you may not owe them any sort of compensation at all. This is a difficult issue to detect, but not impossible, especially if you have stringent practices in place.
Never spend money on someone else’s lies. When you invest in general liability insurance, detecting and dealing with workers compensation fraud is easier, and you can put your mind at ease and focus on the aspects of your business that really need it the most to make your company a success.