As a business owner in Gallup, NM, you are expected to provide your employees with a safe and healthy work environment. Even when all safety precautions are taken, however, accidents sometimes happen. If an employee is injured on the job, you are responsible for covering their medical bills and financial losses. Workers’ compensation insurance provides this coverage.
If you are looking for a reliable and competitively priced workers’ compensation policy for your Gallup business, you can benefit from the help of an independent insurance agent. Find an insurance agent near you to learn more.
Do Employers in Gallup Need to Purchase Workers’ Compensation Insurance?
In the state of New Mexico, if you have at least three employees, you are required by law to carry workers’ compensation insurance. If your business is in the construction industry, you are required to have this coverage regardless of the number of people you employ.
There are, however, a few exceptions. It is not necessary to cover sole proprietors, real estate agents, farm and ranch laborers, or domestic servants. It is also not required that you cover executives who have a financial interest in your business, though they will still be included in your total employee count.
Knowingly and willingly failing to carry required workers’ compensation coverage can result in your business being heavily fined or even shut down by the state. It is therefore to your advantage to allow an independent insurance agent to help you find a suitable and competitively priced policy.
How Much Does Workers’ Compensation Insurance Cost in Gallup, NM?
Your cost for workers’ compensation insurance will be based primarily on the risks involved in the types of jobs your employees do. The New Mexico Workers’ Compensation Agency assigns base insurance rates for thousands of different job classifications according to how hazardous the jobs are.
Insurance companies covering Gallup businesses must use these rates when calculating costs. They are, however, able to make adjustments based on the employer's experience modifier and worker safety record, so comparison shopping has its advantages.
The following are average rates paid per every $100,000 in employee payroll for the three most common business industries in Gallup, NM:
- Educational services: $1,120 a year
- Health care: $2,610 a year
- Accommodation & food services: $2,380 a year
Of course, these are just average rates for broad industry umbrellas. Actual costs can vary according to more specific information regarding the jobs your employees do. Talk to a local independent insurance agent to find out how much workers’ compensation will cost for your particular business.
Gallup Workers’ Compensation Covers Medical Care for Worker Injuries
If your employees are hurt while doing their jobs, or if they suffer an occupation illness caused by exposure to toxic fumes or substances in the workplace, they will need to seek medical attention.
Workers’ compensation insurance is designed to cover the cost of all necessary medical treatment, medications, and follow-up care, including physical therapy, medications, and long-term care, if needed. Employees are not to be charged any amount for this treatment and therapy.
If an employee must travel more than 15 miles one way, workers’ compensation insurance can also reimburse them for their travel expenses such as mileage, tolls, and fares. If an overnight stay is necessary, workers’ comp can also cover up to $30 a day for meals and up to $85 a night for accommodations. Talk to your insurance agent to learn more.
Gallup Workers’ Compensation Insurance Provides Disability Benefits
If an employee suffering from a work-related injury or illness must take off more than seven consecutive days of work, they can receive disability compensation in an amount equal to two-thirds of their previously earned wages. There are different types of disability.
For employees who are temporarily disabled and unable to work at all while recovering, benefits can continue until they are able to return to work. A partially disabled worker who has been released to work but in a limited capacity while recovering can receive benefits to bridge the gap between their previously earned wages and the wages earned in the more restricted job.
If an employee suffers a permanent disability that requires them to find a different kind of job, compensation can be paid for a length of time commensurate with the severity of the injury. If the disability leaves the employee fully unable to work in any capacity, benefits will continue for life.
Gallup Workers’ Compensation Covers Job-Related Fatalities
Unfortunately, workplace injuries sometimes prove fatal. If a workplace injury or occupational illness results in an employee’s death within two years, a workers’ compensation policy can provide benefits to surviving family members.
Workers’ compensation insurance will cover your employee’s burial expenses in an amount of up to $7,500. It can also provide compensation to a surviving spouse and dependents in a weekly amount of two-thirds of the deceased employee’s average weekly wages in the year prior to the fatal accident.
Find the Best Workers’ Compensation Insurance in Gallup
When shopping for workers’ compensation insurance for your Gallup business, you can be certain you are getting a great policy at a competitive rate when you work with a local independent insurance agent. These agents can help you get matched up with a reliable insurance company that specializes in covering businesses in your industry.
Contact an insurance agent in Gallup to learn more and start comparing customized workers’ compensation insurance quotes.
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