Does It Pay To Be Without Workers' Compensation Insurance?

Employers must understand who is required to carry workers' compensation insurance and why. Those who are required to carry this type of insurance should not quibble at paying the premiums as going without workers' compensation insurance will cost much more in the long run. The best advice for employers is understanding how the workers' compensation system works and making sure you maintain the coverage you need. Otherwise, not only are your workers unprotected in the event of an accident or injury, but you are open to penalties, fees and potential lawsuits.

Who needs it?

If you are thinking you don't need workers' compensation insurance, you may want to double check to be sure. Though the requirements may vary from state to state, employers with a very low number of employees (3-5) must carry workers' compensation insurance. Of course there are exceptions, however it is better to know for certain that you are except versus guess and find out later you were wrong.

Dangers of not carrying workers' compensation insurance.

It is not just the financial concern with which employers need to worry themselves. Either way you look at it, it will cost money whether you have insurance or you risk not carrying the insurance needed. More so, there is another issue of concern. When one rule is broken in the work place, there are likely others which follow. This may include the very safety standards put in place to keep workers safe from injury in the first place. Employers who break the rules are not only putting their business at risk, but the lives of the individuals working for them.