What is Workers Compensation Coverage?
According to the website, Answers.com, workers compensation can be defined as:
A system whereby an employer must pay, or provide insurance to pay, the lost wages and medical expenses of an employee who is injured on the job.
A program providing payments, without regard to a finding of negligence of either party, to workers involved in specific job-related injuries. These laws were enacted so that the employee would not have to go through a long and arduous lawsuit and possibly not recover due to the employer’s advantageous financial standing.
Workers compensation insurance addresses claims that arise between employers and employees. In an effort to improve the efficiency of processing these claims and eliminate litigation over legal liability, workers compensation insurance, a no-fault type of insurance, was created. It requires an employer to indemnify employees for medical expenses, lost wages, and disabilities regardless of whether the employee’s own negligence was the proximate cause of the injury. In exchange, workers compensation is the exclusive remedy for an employee to recover damages for a work-related injury. In other words, if workers compensation is available to the employee, he/she cannot sue his/her employer even if the employer’s negligence is the proximate cause of his injury.
Your organization may require you to purchase this type of coverage to protect workers, House Corporations Board officers, and the National Fraternity. Proper focus on keeping employees safe presents a win-win situation for all involved.
For more information contact
Holmes Murphy Fraternal Practice
13810 FNB Parkway Suite 300
Omaha, NE 68154
Phone: (800) 736.4327, ext. 4191
Fax: (800) 328.0522