From large shipping companies at the Falls of Ohio to the many mom-and-pop businesses and restaurants throughout the city, Louisville is home to a wide variety of industry types. If you are among this city’s employers, it is your duty to provide your workers with a safe work environment. Still, accidents are sometimes unavoidable, which is why workers’ compensation insurance is vital. If you're looking for a reliable and affordable workers’ compensation policy, you can benefit from contacting an independent insurance agent with an office in or near Louisville. Find a local insurance agent to learn more and get started.
Do Businesses in Louisville Need to Have Workers’ Comp Insurance?
In Louisville, all businesses with at least one employee are required to carry workers' compensation insurance in order to remain in compliance with Kentucky state law. There are a few exceptions, such as farm laborers, domestic help, and railroad workers, but most employers will fall under this mandate. Although it isn't necessary to purchase coverage for partners, sole proprietors, or LLC members, you can include them in your policy if you want to. Additionally, employees in this state may opt out of coverage if they do so in writing. To learn more about the requirements for your business, you can talk to a local insurance agent.
How Much Does Workers' Compensation Insurance Cost in Louisville, KY?
Your cost for coverage will be based on your company’s overall payroll and the types of jobs your employees do. The Kentucky Department of Workers’ Claims annually publishes rates for thousands of different job classifications. Insurance companies covering Louisville businesses must use these rates when calculating your cost for coverage.
Private insurers, however, are permitted to offer discounts and incentives of up to 25%, so it often pays to shop around for the best price. High-risk employers who can't obtain commercial coverage can be covered through the state fund, Kentucky Employers’ Mutual Insurance (KEMI). To get an idea of what your costs may be, let’s look at the average rates paid per every $100,000 in employee payroll for the three most common business industries in Louisville, KY:
- Construction: $ 5,765 a year
- Accommodation and Food Services: $1,230 a year
- Manufacturing: $2,210 a year
Of course, costs can vary within each of these industries. When it comes to manufacturing, employees who produce cars are more likely to sustain injuries than those who produce whiskey. Talk to a local independent insurance agent to find out how much workers’ compensation will cost for your particular business.
Louisville Workers’ Comp Covers Medical Care for Worker Injuries
If your employees are hurt while doing their jobs, or if they suffer an occupational illness due to exposure to toxic substances in the workplace, they will need to seek medical attention. Workers’ compensation for Louisville businesses is designed to cover the cost of all necessary medical treatment, medications, and follow-up care, including physical therapy and long-term care if necessary. To ensure that medical treatment doesn't place any undue financial burden on injured employees, workers’ compensation will also reimburse them for miles driven, parking costs, taxi rides, or other travel expenses they may incur to get to and from doctor’s appointments and the pharmacy to pick up necessary prescriptions or supplies.
Louisville Employees Get Disability Coverage through Workers’ Comp
Temporary disability coverage is designed to replace lost wages if an employee must take more than seven days off work due to a work-related injury. This can provide your employee with 2/3 of their average weekly earnings for the duration of their recovery time. If an employee suffers a serious injury and becomes permanently disabled, they may be eligible for long-term disability pay.
The amount paid out will be dependent on the employee’s previous earnings and the severity of the injury incurred, according to a designated impairment rating. Employees with a 50% impairment or less are eligible to receive benefits for up to 425 weeks, while those with an impairment of more than 50% can collect for up to 520 weeks.
Louisville Workers' Compensation Covers Job-Related Fatalities
Sadly, workplace injuries sometimes result in fatalities. If an employee dies because of a job-related illness or injury, your workers’ compensation policy can provide survivor benefits to family members. This insurance will provide a one-time lump-sum payment to the employee’s estate. Afterward, it will provide weekly compensation to the employee’s spouse and dependents in an amount based on the employee’s average weekly pay and the number of dependents in the household.
- If the employee leaves behind a spouse but no dependent children, the spouse can receive a weekly benefit of 50% of the employee’s average weekly wages.
- If the employee leaves behind a spouse and one dependent child, the family will receive 45% for the spouse and an additional 15% for the child, for a total of 60% of the employee’s weekly pay.
- If the employee leaves behind a spouse and two dependent children, the family will receive 45% for the spouse and an additional 15% for each child, for a total of 75% of the employee’s weekly pay.
Talk to your local independent insurance agent for more information about what workers’ compensation can provide.
Find the Best Workers’ Compensation Insurance in Louisville
If you are shopping for workers’ compensation insurance for your Louisville business, you can be sure you are getting a great policy at a competitive rate by working with a local independent insurance agent. These agents can help you get matched up with a reliable insurance company that specializes in covering businesses like yours.
Contact an insurance agent in or near Louisville to learn more and start comparing workers’ comp insurance rates.
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