What Employers Can Gain from Workers’ Compensation
If you have a business, there’s one thing you have to ask: Do you need to have workers’ compensation insurance? Well, the answer is yes, especially if you have employees. Your business must be registered in the WCB (Workers’ Compensation Board) as well as pay premiums for the workers’ compensation insurance, depending on what industry you belong.
Of course, it’s not unusual for you to think that this is complete hassle; you will incur expenses because of the premiums. Therefore, it is important that you are open for numerous options. Example, it’s not all the time that your employees will not get injured even if your place is considered to be completely safe. Certainly, it will cost you more if you pay for his medical bills or pay for legal damages, if matters are brought to court.
The workers’ compensation insurance comes in handy since it provides protection to employers against claims from their employees because of injuries. It somehow shields your business from possible lawsuits and gives compensation to employees who are injured while they’re on the job.
The workers’ compensation insurance is based upon an act using Meredith Principle as its foundation. It was Sir William Meredith who first reported and discussed about workers’ compensation about 8 decades ago.
The whole principle is divided into four parts. First, it talks about the responsibility of the employer to rightfully compensate his employees. On the other hand, the business owners are protected from any legal actions that can arise due to unforeseen injuries of a worker. Thus, the employees will waive his right to sue his company in exchange of a compensation that is equivalent to the injury he attained. Moreover, causes of the injury such as negligence shall not be considered as viable reasons. To oversee that these provisions and principles are upheld, an independent governing body is set up, which was then called as the WCB or Workers’ Compensation Board.
Your responsibility in relation to the workers’ compensation insurance doesn’t end in registering in the WCB as well as in paying premiums. More than that, it is your job that the employees are always safe and protected to stop any untoward incidents that will lead to injuries. It is also the employers’ duty to assist the injured employee once he gets back to work.
Since the administration of workers’ compensation is through provincial rather than federal agencies, the determination as to which business must obtain an insurance for workers’ compensation or what businesses can opt for the policy depends and varies from one territory to another.
In conclusion, if your business is registered or incorporated and you have a set of employees, you need to register in the WCB or your province as well as pay the insurance premiums. However, if you are engaged in sole proprietorship or you are an independent operator with a business that is not incorporated and with no employees, you do not need to get your business a workers’ compensation insurance; however, you can avail of an optional coverage.
by Maria-Goldsmith 19 years ago