Some states don’t require business owners to purchase workers’ compensation coverage for their employees. In addition, independent contractors are not eligible for coverage under workers’ compensation laws. If you aren’t allowed to purchase workers compensation coverage, you must protect your business and your contractors with an occupational accident plan.
Coverage for Independent Contractors
An independent contractor provides a service under contract, and they control the way in which the service is rendered. Occupational accident insurance for independent contractors is a critical investment for your business. An independent contractor who is injured while working for your company will be protected. This insurance can help cover medical expenses and sometimes pay for lost wages. It can also protect your business from legal actions and expensive medical bills.
When designing the right plan, there are a few choices that need to be made. Make sure you discuss your options in detail with your insurance agent, including:
- Deciding on the wisest deductible amount
- Figuring out the liability limit per accident
- Establishing the levels of death benefits and disability protection