Almost every state requires employers to have this insurance to cover medical costs for work injuries and illnesses.
State laws determine when a business needs workers’ compensation insurance. Most states require tech companies to purchase workers' compensation insurance as soon as they hire their first employee.
Even when your state doesn’t require it, workers’ comp can protect your business from expensive medical bills from work injuries, as well as lawsuits over employee injuries.
Workers’ compensation insurance almost always includes employer’s liability insurance. This policy helps cover costs if an employee claims their injury resulted from your negligence.
For example, an employee could say their injury wouldn’t have happened if your office had better lighting in a stairwell, or if you’d repaired a broken front step.
Tech businesses in North Dakota, Ohio, Washington, and Wyoming must purchase workers’ compensation through a state fund. These policies don’t include employer’s liability insurance, but you can purchase it from a private insurer to get protection.
Find more answers to frequently asked questions about workers’ compensation insurance.