Worker's Compensation Insurance
Workers' compensation insurance covers injuries and occupational diseases picked up at work. Fault doesn't matter; employers are liable even if the employee may have contributed to the injury or illness. Workers' compensation covers the following areas: injuries or loss of limbs, diseases like emphysema or repetitive motion, injury inflicted at work, medical treatment, rehabilitation needed so workers can return to work, lost wages (up to two-thirds of the employee's salary), death, and liability insurance for the company for lawsuits filed by injured employees.
Rates are commonly set for three years, during which the insurer tracks how many claims you submit. After three years, the "experience modification factor" kicks in which is an evaluation of how your claims compared to other, similar businesses in your state. Fewer, less costly claims can earn a dividend (a refund of part of your premium) from some insurers. Implementing safety practices into daily operations can earn an additional discount.