Whether you employ office workers or railroad employees, injuries and freak accidents can happen at any time. While fatalities are rare, all kinds of injuries, from minor to serious, can happen in any workplace, from manufacturing plants to construction sites, and even in offices and stores.
Workers’ compensation insurance makes it possible for workers to pay their medical bills and be compensated for lost wages if they are injured on the job. In Rio Rancho, New Mexico, most employers are required to purchase workers’ compensation insurance.
An independent insurance agent in Rio Rancho can help you learn more about the state workers’ compensation requirements, and can help you find a policy that is best-suited for your industry.
Is Workers’ Compensation Required in Rio Rancho, NM?
Most Rio Rancho employers will need to purchase workers’ compensation insurance that's in compliance with all of the New Mexico workers’ compensation laws.
In New Mexico, all employers with three or more employees must purchase workers’ compensation insurance. Charities, nonprofits, and religious organizations are included in this requirement.
Every employee must be counted properly in order to determine if you need to purchase New Mexico workers’ compensation insurance. Owners, family members, and part-time and seasonal workers should be included in the employee count.
If you are required to purchase coverage, you can choose to exclude coverage for corporate officers or members of an LLC. What’s more, sole proprietors and partners are automatically excluded from coverage, but you can choose to include them in your policy.
New Mexico employers involved in the construction industry must purchase workers’ compensation insurance if they have one or more employees. In addition, several types of employees are exempt from the rules. These include:
- Real estate agents, domestic employees, and independent contractors
- Agricultural workers who spend the majority of their time growing or harvesting produce, meat, or dairy products
How Much Does Workers’ Compensation Insurance Cost in Rio Rancho?
Rio Rancho workers’ compensation premiums are based on the risks for workers in your industry, how many employees you have, your annual payroll, and your history of workers’ compensation claims.
Employers in high-hazard industries will pay more for workers’ compensation insurance than those in low-hazard industries. If you have a good safety record, you may be rewarded with lower premiums than others in your industry.
The New Mexico Workers’ Compensation Administration partners with the National Council on Compensation Insurance (NCCI) to set rates. Each occupation is associated with a classification code, and each class code is assigned a base rate that is recommended by the NCCI and approved by the state.
Here are three of the most prevalent industries in Rio Rancho, and the average annual workers’ compensation premium, based on a business with a $100,000 payroll:
- Retail Trade: $2,850
- Public Administration: $300
- Construction: $7,430
Construction work is clearly a more dangerous occupation and workers’ compensation premiums will be higher as a result. If you face high workers’ compensation costs for your construction firm or any type of business, you need to find ways to reduce employee injuries and workers’ compensation claims. Providing a safe and healthy workplace goes a long way toward keeping your employees injury-free.
An independent insurance agent who understands your business and the New Mexico workers’ compensation rating system can help you get quotes for coverage and understand all of the ways to help keep your costs under control.
What Does Rio Rancho Workers’ Compensation Insurance Cover?
New Mexico workers’ compensation insurance provides three main benefits to injured Rio Rancho workers.
- Medical bills: The most important purpose of workers’ compensation insurance is to pay the medical expenses of injured workers and return them to work as quickly as possible. Workers’ compensation policies in Rio Rancho will pay for reasonable and necessary medical care related to a work-related injury or illness. Travel and lodging costs related to medical care will also be reimbursed.
- Wage replacement: New Mexico workers’ compensation insurance helps injured workers recoup a portion of their lost wages if they are unable to work during their recovery period. The amount of disability benefits that an employee receives is dependent on the degree and duration of their disability, or inability to return to work.
- Death benefits: If a work-related fatality occurs, New Mexico workers’ compensation insurance offers death benefits to help ease the financial burden for the deceased workers’ surviving family members. A deceased employee’s family may receive a portion of their compensation for a certain period following the death. The surviving family may also receive a separate lump-sum payment designated for funeral expenses.
What Happens When Workers’ Compensation Claims are Disputed?
Sometimes, an employee, an employer, or even an insurer has concerns about a particular workers’ compensation claim. Claims can be denied, complaints can be made, and all parties involved must have a means to fairly resolve any denials or disputes.
The New Mexico Workers’ Compensation Administration provides an Adjudication Bureau, which is tasked with providing assistance when claims are in dispute. The Adjudication Bureau is staffed with professional mediators and judges who work with the parties to resolve complaints and disputes according to New Mexico law.
Find the Best Workers’ Compensation Insurance in Rio Rancho
Rio Rancho employers have a lot of options for workers’ compensation insurance. An insurance agent who understands your business and the New Mexico workers’ compensation laws can help guide you.
To learn more about New Mexico workers’ compensation and obtain coverage for your business, contact a local independent insurance agent.
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