All businesses with employees must protect their employees with workers’ compensation. This insurance steps in to help provide the medical care, wage losses and funeral expenses should the employee fall, become sick or die while on the job. Here’s how to know if you need excess workers comp insurance.
As seen on www.caitlin-morgan.com/, the excess workers’ compensation offers businesses with creative solutions and flexible options for coverage. This can help self-insured businesses better care for their employees while protecting their bottom line.
This workers’ comp plan is mainly a benefit for those who are self-insured. Many businesses choose this route in order to better control their claims and cash flow. In many cases, by self-insuring their workers’ comp plans, businesses can save money on premiums. Businesses who incorporate effective risk management plans may benefit from using a self-insured plan.
Not all states allow businesses to have a self-insured plan, which means those states also do not qualify for the excess plan. Companies that can and choose to operate a self-funded plan must apply through the state’s regulatory agency for approval. Each state has different qualification standards.
There are many moving pieces to a self-funded workers’ compensation plan. If your business uses this cost-saving policy, you may benefit from an excess workers comp policy.