The worker’s compensation benefits is a type of insurance that all companies pay to benefit injured or sick employees while at work. Through this policy plan, workers are provided with medical care, disability, rehabilitation, and death benefits. All employers must have insurance to avoid being sued by their employees. Companies pay into the workers’ compensation plans, just like any other types of coverages are paid. In turn, the benefits are rewarded to injured or sick employees while they are at their respective jobs. However, pain, suffering, and negligence claims do not attract workers compensation benefits.
What types of employees are covered by the workers compensation benefits?
These are the beneficiaries of the workers’ compensation benefit plans.
- Business owners
- Casual workers
- Railroad employees,
- Private homes employees,
- Maritime employees
- Independent contractors
Let us have a look at the types of workers compensation plans
When employees are injured while at their workplaces, they file a workers compensation claim aimed at receiving medical coverage, the medical coverage plan takes care of the cost of occupational injuries or sickness. The paid fee is inclusive of hospital treatment, nursing care, medications, medical diagnostic tests, physical therapy, durable medical equipment, and doctors’ visits.
The medical coverage plan benefits the affected until they fully recover, therefore not limited to a given amount of dollars, copays, and deductibles. However, some state laws may restrict some types of treatments, such as chiropractic care and physical therapies.
Disability benefits are rewarded to employees who become disabled due to work-related injuries. Many types of disabilities may happen within the work environment. Each of the injuries is classified in its category in the four main classifications.
1. Temporary total
Here the worker is not in a position to work in a given time or is completely disabled. For instance, an employee injures his/her back and as such, not able to work for about six weeks. The employee returns to work after nursing a six-week disability.
2. Temporary partial
Here the employee is partially injured and disabled by a short term injury. For instance, an employee breaks his/her arm while at work. He/she can be working as a part-time employee until the arm fully recovers.
3. Permanent total
Here an employee sustains a permanent injury that is beyond recovery. The worker cannot work in the future even if the injury recovers.
4. Permanent partial
An employee here sustains permanent disability like losing the sense of hearing, and he/she cannot earn much as he/she earned before the injury.
The disability payments vary depending on the nature of the injury. The benefits are calculated on average weekly wage, and the amount may be subjected to maximum or minimum thresholds. Temporary total benefits are remitted during the time of disablement. Temporal partial, workers receive reduced pay and a percentage of the difference between employees’ reduced pay and average pay.
The total permanent worker continues to receive a specified percentage of earning till they retire. In permanent partial, workers receive payments based on their wages weekly wage.
Most states provide affected employees with vocational rehabilitation since they cannot be able to return to work. Psychological rehabilitation is provided to employees who suffer mental related injuries.
If employees die because of work-related injuries, the death benefits are remitted to his/her spouse, children, and dependents. Burial costs are as well covered.
Workers compensation policy covers employees at their workplaces. Therefore, it is important for every employer to insure his or her agency for the benefit of the employees.