If you are a business owner in California, failing to have insurance to cover workers' compensation claims could cause serious trouble for you and your company. Here at Sacks & Zolonz, we understand the difficult position your company could be in if you are unprepared for a claim, and we want to help mitigate the consequences.
When a worker is injured on the job, you have several responsibilities as a California employer. Here are some of the steps you should take when an employee comes to you with a workplace injury.
Despite California’s strict penalties for workers’ compensation fraud, there are still plenty of attempts to beat the system in many industries, including medical services. This is evident in a recent legal case that is returning to court this month and that involves not only workers’ compensation but also serious threats to patients’ health.
California employers are mandated by law to provide workers' compensation insurance for all employees. This is considered a relatively basic right by many workers. What should also be considered a relatively basic right by employers is that right is that employees will be honest about their conditions and only use or collect such benefits when truly needed. Sadly, this does not always happen.
Are you an employer in California? If so, you should know what the state mandates in terms of your requirement to provide insurance for your employees should they become injured or ill due to a job-related situation or incident. As explained by the State of California, Department of Industrial Relations, workers' compensation coverage is put totally on the shoulders of you, the employer. Employees should not be asked nor required to contribute to any premiums for this type of insurance.
Your workforce is one of the most valuable resources your Los Angeles small business has. While you no doubt want to provide every workplace protection you can for your employees, the cost of worker’s compensation insurance may be prohibitive. However, if your company is legally required to carry such coverage, and one of your employees is injured on the job, you and your company could be facing, among other things, substantial fines. According to the Society for Human Resource Management, if one of your employees happens to file a claim that goes before the California Workers’ Compensation Appeal Board, you could be fined up $2,000 for each employee on your payroll if the claim is non-compensable, or $10,000 per employee if the accident is compensable.
Those who work in the construction industry in Los Angeles play a vital part in the area’s growth and development. While a good measure of pride likely comes with this knowledge, it may be tempered by the fact that the construction industry currently ranks as one of the most dangerous. The reason for this may not necessarily be a higher rate of injuries compared to other job sectors, but rather the greater potential for fatalities if and when accidents do occur.