Occupational accident insurance is a secondary insurance that helps cover costs that you might otherwise have to pay out of pocket to get medical care and recovery time after a work-related accident. Fortunately, you can be covered by this insurance whether or not you're covered by workers' compensation, as this type of coverage often acts as a cushion when workers' comp money is delayed. However, when a company wants its employees to have this insurance, the question of who pays comes up.
When Should the Covered Person Pay?
Occupational accident insurance is mobile, meaning you can buy it for yourself and use it wherever you work (in most cases; some insurance companies may place restrictions on which states they will cover). If you want to have the insurance for yourself because you're worried that workers' comp won't cover you (if you're a contractor, for example), or that workers' comp might be inadequate given the potential injuries you could face on the job, then you should pay for it. Your client or employer doesn't have to pay for that coverage if you're the one who decided it would be a good thing to have.
Likewise, if you're a contractor, it's good for you to have this type of insurance anyway as it can cover a lot of costs that your other insurance, such as health, might not cover. Plus, many companies prefer to contract with people who have different types of insurance coverage, such as liability, so you should get this coverage to begin with if you don't want clients deciding to partner with a different contractor. Keep in mind that you can bake the costs of your insurance coverage into your negotiated rates.
When Should the Company Pay?
If you're a W-2 employee, and your employer wants you to have this type of insurance, then the employer either has to pay for it or reimburse you for the costs you'd incur if you were to pay. If you're in a traditional employee's position, then the company has to take care of that cost one way or another if they require you to have it.
In a contractor-client relationship, a client can offer the insurance to contractors if the client's company wants to, in which case the company would pay for it.
Secondary coverage like occupational accident insurance can really remove a lot of financial stress from you, especially if you're a contractor. With processing delays, hearings, co-pays, and deductibles all eating away at your ability to pay for medical costs, this secondary coverage helps keep you in good shape financially as you wait for the other coverage to kick in. For more information, contact a company that offers occupational accident insurance plans.
Share17 March 2021
Businesses come in all shapes and sizes. They provide us with all of the things that we need each day to live the lives we are used to. Are you considering starting up a business of your own? Do you have a hobby, interest, or skill that others could benefit from? Having watched as my son build a concrete finishing company from scratch, I have witness what persistence, patience, and hard work can do for a person. My blog focuses on what it takes to start a business and what you must do to ensure that your business is on a path to success.
