What’s the Difference Between Workers’ Compensation and Employer’s Liability Insurance? 

If you own a business with employees, you’ve likely heard of workers’ compensation, but employer’s liability insurance often gets less attention. These two coverages work closely together, and understanding how they differ can help you make smarter decisions about protecting your business and your team.

What Is Workers’ Compensation Insurance?

Workers’ compensation may provide financial assistance to employees who are injured or become ill because of their work. Required by law in most states, it may shield employers from employee lawsuits arising from workplace injuries under the exclusive remedy rule.

Employer’s liability insurance, which is usually included in a workers’ comp policy as Coverage B, may step in when an employee’s injury leads to a legal claim that falls outside standard workers’ comp protections, such as a negligence lawsuit or a loss of consortium claim brought by a family member.

Does Workers’ Compensation Cover Remote or Work-From-Home Employees?

Workers’ compensation generally extends to remote employees. If a work-from-home employee is injured while performing job-related tasks, that injury may qualify for coverage. Common covered scenarios include:

• A home-office slip or fall during work hours
• Repetitive strain injuries from extended computer use
• Injuries that occur during a work-required errand

The key question is whether the injury happened in the course of employment. Coverage questions for remote workers can get complicated, so reviewing your policy with an agent is the best way to confirm what applies.

What Should I Do If an Employee’s Claim Is Disputed or Denied?

A disputed or denied claim doesn’t mean the process is over. You have the right to request a formal review, gather supporting documentation, and work with your insurer to appeal. Consulting an employment attorney for legal guidance is advisable, since this situation involves legal rights that go beyond insurance coverage alone.

Why Work With an Independent Insurance Agency for Workers’ Compensation Coverage?

An independent agency can shop multiple carriers to find coverage that fits your workforce, your industry and your budget. Rather than being limited to one company’s options, you get a broader comparison and an advocate who can help when claims arise or policies need adjusting.

Contact United Business Insurance Company today to review your workers’ compensation coverage and make sure your business has optimal financial protection. We proudly serve Marietta, GA and surrounding communities.

 

 

This blog is intended for informational and educational use only. It is not exhaustive and should not be construed as legal advice. Please contact your insurance professional for further information.