Tuscaloosa is home to a variety of thriving businesses. Whether you own a small construction businesses or a large healthcare system, it's important to have the right workers’ compensation insurance to shield you and your employees.
A local independent insurance agent in Tuscaloosa will work with you to get an affordable workers’ compensation insurance policy to protect your business. Find an independent agent near you to get started.
Is Workers’ Compensation Insurance Required in Tuscaloosa, AL?
If you employ more than five people, you are required by law in Tuscaloosa to provide workers’ compensation insurance. This applies to full-time and part-time employees.
There are a few exceptions. Employers are not required to provide workers' compensation insurance to casual workers, farm laborers, or domestic workers, or in municipalities with a population of less than 2,000. In these situations, it's up to the employer to voluntarily provide coverage to the employees.
If you don’t provide workers' compensation insurance for your employees you may be ordered to close your business until you comply, fined $1,000 per employee for each day that you failed to provide the required business insurance, and could face jail time. If an employee is injured on the job and they aren't covered, they could file a lawsuit against you for their medical expenses.
How Much Does Workers’ Compensation Insurance Cost in Tuscaloosa, AL?
The cost of your workers’ compensation insurance in Tuscaloosa will depend on the type of work that your employees do. The National Council for Compensation Insurance (NCCI) designates classification codes for each job. If the employee has a higher risk of being injured, the cost for coverage will be higher.
Insurance providers are obligated to file their rates using Alabama’s assigned costs as guidelines. Claims history, worker safety records, and incentives are factors that can result in discounts of up to 25% for workers’ compensation coverage in Tuscaloosa.
Tuscaloosa, AL Workers’ Compensation Covers the Cost of Medical Treatment
If a Tuscaloosa employee has a job-related injury or illness, workers’ compensation insurance can help provide coverage so they won’t be stuck with a huge financial burden. It also provides assistance for occupational illnesses (illnesses that arise due to the conditions in the workplace). Further benefits offered by Tuscaloosa workers’ compensation include:
- Vocational rehabilitation: If the employee is unable to return to their normal job, they can receive assistance in finding new employment.
- Medical benefits: As long as the treatment is certified, employees will be covered for all medical treatment due to the work-related injury.
- Mileage reimbursement: This can cover all travel to and from medical appointments.
- Missed work: Employees will be financially covered for the time missed at work due to the injury
Workers’ Compensation Insurance Provides Disability Coverage for Tuscaloosa, AL Employees
In Tuscaloosa, if a job-related injury causes an employee to miss more than 3 days of work consecutively, workers’ compensation insurance will provide disability benefits to help with the financial burden. If they miss more than 21 days in a row, they will be paid for the first three days of disability.
If the employee is eligible for temporary total disability relief, they will be provided with two-thirds of their average weekly wage. This benefit is paid until they have recovered fully and can return to work.
Some employees may still be able to work but are earning less due to a job-related injury. In this case, they would receive benefits for temporary partial disability. They would be compensated with two-thirds of the difference in their earnings.
There is a cap on the amount that can be collected. It is updated annually by the Alabama Workers’ Compensation Commission. As of 2019, the maximum weekly benefit is $892 per week.
Workers' Compensation Covers Fatal Work Injuries in Tuscaloosa, AL
Workplace accidents sometimes result in a fatal injury. In the case of this unfortunate event, workers’ compensation insurance can help surviving dependents and family members with the financial burdens.
The employee’s family will receive death benefits that include up to two-thirds of the worker's average weekly wage. The family members will also get $6,500 to help with burial costs and funeral expenses.
What Can Cause a Workers’ Compensation Claim to Be Denied?
Workers’ compensation claims are sometimes denied. This may occur if the employee doesn't notify their supervisor of the incident in time, if the injuries were self-inflicted, or if there is not enough evidence that the injury happened at work.
If an employee feels that their workers’ compensation claim was wrongly denied or they are unsatisfied with the settlement, they can contact the Alabama Bureau of Workers’ Compensation to request a review of the settlement.
How Can You Find Workers' Compensation Insurance in Tuscaloosa, AL?
A local independent insurance agent can help you find the right workers’ compensation insurance policy for your Tuscaloosa employees. Independent agents work with several insurance companies to compare quotes and find a provider that specializes in covering businesses like yours.
Use independent agents to find the best insurance plan in Tuscaloosa. You specify what you’re looking for, and the network will recommend the best local agents for you. Any information you provide will be sent only to the agents you pick.
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