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Worker’s Compensation Insurance

It’s a risky world but we’ve got you covered.

We know the unexpected and accidents happen and that’s why it is important to understand your coverage. At Frost & Remer you can rely on our knowledge and expertise to help you select the level of protection that’s right for you.


Worker’s Compensation Insurance protects your employees with coverage for medical expenses and a portion of lost wages for employees who become injured or ill on the job. Coverage also includes employee rehabilitation and death benefits.

Ask about an Umbrella Policy, Surety Bonds, and General Liability Insurance.

Contact Frost & Remer today to schedule an appointment for your full risk assessment.

Owning a business comes with many important responsibilities. Managing those responsibilities often involves navigating the unexpected.

Workers’ compensation insurance can help you prepare for unexpected injuries or illnesses that your employees could inevitably experience on the job.

When it comes to the safety of your employees, and your legal obligations to protect them, workers’ compensation insurance covers their financial and medical needs, while protecting you from several financial and legal risks.

What is workers’ compensation insurance?

If an employee is injured or becomes ill while on the job, workers’ compensation insurance provides coverage for their medical expenses, rehabilitation, and a portion of their lost wages for incidents such as the following:

In these cases, employees may be covered for services including rehabilitation, physical therapy, and retraining programs. If an employee is killed on the job, their family will receive death benefits.

An employee can file a claim for workers’ compensation insurance only if they were injured or became ill as a result of their duties while on the job. For example, injuries might include a slip or fall accident, accidents caused while operating machinery, injuries from fire or explosions, or a strain on the body from heavy lifting. 

This coverage offers important benefits to employees who won’t have to pay for their medical expenses out of their own pocket and who can continue to receive partial pay while recovering from a workplace injury or illness.

Does my LLC or small business need workers’ compensation insurance?

If your LLC or business has employees who are not owners, it is highly likely that you’re required to purchase workers’ compensation coverage for those employees.

The requirements are set by each state, and there are very few states with exceptions to this rule. However, some states do offer exceptions based on whether your business has a very small number of employees and what type of business you have, for example. Even as a sole proprietor though, you may need to purchase workers’ compensation insurance for a contract you have with another business.

Discuss your specific situation with Frost & Remer to understand what coverage is best for you. When purchasing this insurance, your rate will depend on specific qualifiers for your business, such as your state, type of business, payroll, and insurance claims history.

This coverage is meant to protect both you and your workers in the event that an illness or accident happens on the job. You’ll need to understand your state’s rules and regulations for employers to ensure that you’re providing proper coverage to employees.

Why it’s important for your business to have

Beyond providing benefits to employees, workers’ compensation coverage protects you from civil suits from those employees, if they become injured or ill on the job.

Workers’ compensation coverage protection for your business

If your insurance coverage complies with your state law, an employee who receives the benefits of the insurance can’t sue you for negligence.

However, if you don’t provide workers’ compensation coverage, your business can face costly consequences. You may be held responsible for paying employees’ claims out of pocket and you may lose the right to conduct business in that state. Beyond these financial and operational risks, you could even face possible prison time.

The limits for workers’ compensation coverage are determined by the Workers’ Compensation Board in each state. There are no set universal limits to the insurance coverage an employee will receive but many states set a cap on these benefits.

The amount awarded to an employee may be determined by their salary and the severity of their injury or illness.

Liability coverage protection

If a worker is not covered by workers’ compensation insurance or if the employee decides to sue you for additional claims outside of their injury or illness, employer liability insurance can help to cover the expenses of court costs, legal fees, and resulting lawsuits. 

To protect your business against these legal expenses, you’ll want to understand your liability coverage, which is often packaged with workers’ compensation insurance.

Employer liability insurance requires basic limits on the amounts paid out per employee, per injury or per illness. Because a few claims can easily exhaust these limits, employers often purchase increased liability coverage at a higher premium.

Learn more about workers’ compensation coverage

Having workers’ compensation insurance allows you to be prepared for the unexpected. Protect your workers from financial hardship and your business from various financial and legal risks.

Contact us to discuss an Umbrella Policy, Surety Bonds, and General Liability Insurance for your business.

Schedule an appointment for your full policy review and risk assessment from Frost & Remer. We’ll make recommendations to ensure that you can provide the necessary coverage to your employees to protect your workers and your business.

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