Your business is likely your most valuable asset and one of the best ways to protect it is with workers' compensation insurance.
Workers' compensation insurance in Louisiana is a requirement, as it is in most states. The laws do vary a little between states but have the same general goal, to protect both businesses and employees who may be injured on the job.
Workers' compensation insurance Louisiana is no different. It is a type of accident insurance for employees that protects businesses from costly lawsuits while ensuring injured workers get the necessary medical care they need to recover from an on-the-job injury.
Here’s what you need to know about workers' compensation insurance in Louisiana.
Are there exceptions?
All businesses that have at least one employee must provide workers' compensation insurance in Louisiana. A few exceptions are in place, but businesses must take careful steps to ensure they comply with Louisiana workers' compensation laws.
Full-time, part-time, and seasonal workers must be covered by workers' compensation insurance in Louisiana, even if they are minors. Employees are typically covered from the very first day that they start work. Exceptions to the law include domestic workers, real estate salespeople, and public officials.
Suppose you are unsure whether your business is required to provide workers' compensation insurance in Louisiana. In that case, it is best to ask an insurance agent who is familiar with your state workers' compensation laws. Being non-compliant can be very costly and carry criminal penalties.
How does it work?
Workers' compensation insurance in Louisiana covers most on-the-job injuries and illnesses employees suffer during the normal course of duty. Exceptions include instances where someone caused intentional harm or suffered an accident due to drug use.
Employees are required to report illnesses and injuries to their employer immediately. Sometimes, symptoms don’t immediately manifest, so employees must report them as soon as they begin. The proper paperwork will be submitted to ensure the employee gets prompt medical care for their injury.
What does workers' compensation insurance in Louisiana cover?
Workers' compensation insurance in Louisiana pays for all necessary medical care arising from an on-the-job injury suffered by an employee. Suppose an employee is under a doctor’s care and cannot work for more than 7 days while recovering. In that case, workers' compensation insurance in Louisiana pays an amount of lost wages. This amount usually equals two-thirds of the employee’s normal compensation at work.
In the tragic event of an on-the-job fatality, dependents can receive a death benefit from workers' compensation insurance in Louisiana. The amount will depend greatly on the number of child dependents the deceased supported during the accident. Workers' compensation insurance in Louisiana will also pay up to $8,500 in funeral expenses to the worker’s surviving family.
Workers Compensation Insurance in Louisiana
Most businesses purchase workers' compensation insurance in Louisiana from a private insurer as this is typically the most cost-effective option. They do have the option to self-insure but must prove that they have enough accessible capital to cover any potential claims without using insurance. This is usually not a viable option for most small businesses. The cost of workers' compensation insurance in Louisiana is much less when purchased from a private insurer and usually, be claimed as a business expense on the company’s tax return. If you’re ready to get a quote on workers' compensation insurance in Louisiana, call a private insurance company that is familiar with Louisiana state laws today.
