Workers' Compensation in NJ

If you employ workers in New Jersey, you must have workers’ compensation insurance.

You are legally required as an employer to ensure your policies are valid.

What Is Workers’ Compensation?

Worker’s Compensation in New Jersey is designed to protect both employees and employers. It can cover losses that occur as a result of employee injury.

If an employee sustains injuries at work, Workers’ Compensation coverage can be used to provide access to the medical care they need, as well as compensation to cover lost earnings and protect the employer from a lawsuit.

Who Needs Coverage?

All employers based in NJ are required to have Workers’ Compensation insurance.

This applies to corporations and LLCs (limited liability companies) that employ at least one person who is paid for doing their job. Seasonal workers should be protected by Workers’ Compensation, but insurance is not required for volunteers or interns.

If you’re self-employed, you won’t need workers’ compensation insurance. Businesses that do not a have Workers’ Compensation policy can be penalized with fines or even imprisonment.

What Is Covered?

Workers’ Compensation in New Jersey covers almost any accident, injury or illness that affects an individual while on the job. Exclusions such as self-inflicted injuries, breaking safety rules and intentional injuries my apply.

If an employee is injured, while abiding by the health and safety guidelines for their job, and had no intentional part to play in the cause of the incident, they should be able to make a successful claim. Such a claim typically covers all medical expenses, including physical therapy and training, and may compensate the employee for lost earnings.

How To Reduce Claims And Costs

As a business owner, it’s always beneficial to look for ways to lower costs and minimize risks.

Here are some simple steps you can take to reduce the likelihood of Workers’ Compensation claims:

  • Introduce a safety program and review and update safety policies on a regular basis.
  • Keep in touch with injured workers.
  • Offer a back-to-work program, which makes it easier for injured employees to adapt to the working environment.
  • Provide injured workers with access to the best medical treatment without delay.
  • Keep up to date with workplace safety guidelines and policies.
  • Provide staff with proper safety training.

Benefits Of Having Workers’ Compensation Coverage

Workers’ Compensation in NJ provides mutual benefits for employees and employers.

Having access to insurance helps prevent businesses from facing legal action, which can protect the company’s professional reputation and avoid unnecessary costs on legal fees.

For employees, Workers’ Compensation coverage provides:

  • Financial assistance for medical treatments and therapies.
  • Disability benefits to cover lost earnings (this may be temporary or permanent depending on the severity of the individual’s injuries).
  • Death benefits for the family if an employee suffers fatal injuries.

Taking steps to minimize the likelihood of a claim and having access to insurance can protect your business.

Workers’ Compensation insurance coverage is mandatory for businesses in New Jersey. If you’re looking for advice about workers’ compensation, or you’re unsure if you’ve got the best policy for your company, don’t hesitate to seek expert help.

Get in touch with an insurance expert today.