For just about every threat your business encounters, there's an insurance policy that will cover it. But what's necessary and what isn't? In terms of business insurance, it is important to cover all potential liabilities. Your business must adhere to all employer insurance requirements that the state requires, but that doesn't imply policies that are not required are any less significant; nor does the state minimum necessary guarantee that your business is fully covered. Read these quick tips and hints for a better understanding of business insurance requirements.
Workers' Compensation Insurance covers the medical costs, rehabilitation costs, and lost pay of any employee hurt on the job. Workers' compensation insurance also handles employer liability in the event of legal action. If perhaps an employee or even an employee's family sues your business as a result of a physical injury to one of your employees, this type of insurance will cover your business and any responsibility you have.
Workers Compensation Insurance is required by law in all 50 states, U.S. territories, and the District of Columbia. However, each state sets their minimum amount of coverage required for each type of business. In Michigan specifically, the Workers' Disability Compensation Act provides workers compensation for injured employees and covers their employers. The Michigan Workers Compensation Agency can answer all questions regarding workers compensation requirements for a business in Michigan. This state minimum is purely a starting point for your insurance. Make sure you talk with an independent insurance agent about your business assets, risks, and needs to insure that your business is fully covered. Your business may require more than the state minimum in order to be fully protected.
One way to help insure safety in your workplace is to provide a safety training workshop for employees and create employee handbooks on workplace safety. A workshop can help raise awareness to the importance of safety around dangerous equipment, give tips for safe work procedures, and show the importance of risk management. An employee handbook is a way to make sure these guidelines are followed throughout the year.
Other types of liability insurance may also be required, or strongly recommended, for your business. Talk with an independent insurance agent about your business to help determine the risks you need to be protected against. Don't let a fire, theft or storm come before you are protected.
Once your business has complied with all the insurance requirements for your state, you may opt for additional coverage that covers your business in other ways. Extra insurance coverage can fill in any gaps in your policy and protect your business against a disaster that could otherwise prove detrimental in the event of a disaster. Give IPS Insurance Agency a call at 800-220-5582 to discuss your business needs and set up Michigan business insurance to protect your business against risks in the workplace.