Jackson, TN Workers' Compensation Insurance

Simply put, some jobs are just more dangerous than others. And sometimes, employees get hurt while working—even in seemingly safe positions. Fortunately, employers in Jackson, Tennessee can keep workplace injuries from leading to large financial losses by investing in a suitable workers’ compensation insurance policy. A local independent insurance agent can help you find the best coverage for your Jackson business. Find an insurance agent near you to learn more.

Is Workers’ Compensation Insurance Required in Jackson?

Employers in Jackson must remain in compliance with Tennessee’s workers’ compensation coverage requirements, or face large fines and possible closure of their business. You are required to carry workers’ compensation insurance if you meet any of the following:

• You have at least five employees, including part-time workers and family members.
• You own a construction business, regardless of the number of employees.
• You own a business in the coal mining industry, regardless of the number of employees.

You are not required to purchase coverage for sole proprietors, LLC members, partners, or corporate officers, but you do have the option to do so if you wish to.

How Much Does Worker’s Comp Insurance Cost in Jackson?

Every business is different, and, as with business insurance, workers’ compensation rates reflect this. Your cost for coverage will depend on the types of work your employees do and your company’s overall payroll. Each job is given a classification code, and rates for each class code are set by the Tennessee Department of Labor and Workforce Development according to its associated risks. 

Insurers use these rates as a starting point and can offer discounts according to your company’s safety rating, claims history, and experience modification. That is why comparing quotes is beneficial. The following are average rates paid per every $100,000 in employee payroll for the top three industries in Jackson, TN:

• Manufacturing: $4,510 a year
• Retail Trade: $1,230 a year
• Construction: $10,847 a year

These are just average rates. The actual costs can vary according to more specific information regarding the jobs your workers do. Some manufacturing jobs are more dangerous than others, so your rates will be dependent on what your company produces.  Likewise, some types of construction carry lower risks than others. Talk to an independent insurance agent in Jackson to learn how much workers’ compensation will cost for you.

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Jackson Workers’ Compensation Pays for the Cost of Medical Treatment

If an employee is injured or becomes ill due to exposure to toxins on the job, they are entitled to have their medical treatment covered in full. Workers' compensation will cover the cost of medical treatment, follow-up care, medications, prosthetic equipment, and other expenses necessary for your employee to heal. You have the right to choose which doctors your workers can go to for their care. 

The only exception is for severe injuries that require immediate care. In that case, a visit to the local emergency room will be covered. In the event that an employee must travel more than 15 miles one way to receive treatment from an authorized physician or necessary specialist, workers’ compensation will also provide reimbursement for their mileage and other travel expenses.

Jackson, TN Workers’ Compensation Insurance Provides Disability Coverage

Workers’ compensation also provides disability benefits, which are designed to replace lost wages if an employee must take more than seven days off work to recuperate from a work-related injury or illness. This coverage can provide injured employees with 2/3 of their average weekly wages for the entire time they are off work under doctor’s orders. If an employee is approved by a physician to return for light-duty work while recuperating, they must report for this work or risk losing their disability benefits. 

Typically, light-duty work pays less than they had been earning, so workers’ compensation will bridge the income gap by covering 2/3 of the difference in pay. If an injury results in an employee becoming permanently disabled, workers’ compensation can pay out a lump-sum settlement payment. This will provide the injured worker with 450 weeks’ worth of compensation in an amount that is based on their previous earnings and their impairment rating.

Jackson Workers Compensation Covers Workplace Fatalities

It is a sad fact that employees sometimes suffer fatal injuries on the job. From collisions, while making deliveries to tragic accidents in the mines, these accidental deaths are most unfortunate. Workers’ compensation insurance can help ease the surviving family’s resultant financial burden by providing them with death benefits. Following a job-related fatality, workers’ compensation can cover up to $10,000 in burial costs. It also provides compensation to family members as follows:

• If the employee leaves behind a spouse but no dependent children, the spouse is entitled to a weekly benefit of 1/2 of the employee’s average weekly wages.
• If the employee leaves behind a spouse and at least one dependent child, the spouse is entitled to a weekly benefit of 2/3 of the employee’s average weekly wages.
• If the employee leaves behind no spouse or dependents, a lump sum of $20,000 will be credited to the employee’s estate.

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What Does Workers’ Compensation Not Cover?

Sometimes, workers’ compensation claims are denied. This may happen if the insurance company’s claims adjuster believes that the injury did not occur on the job, that there is reason to suspect the injury was intentionally sustained, or that the employee was under the influence of drugs or alcohol at the time of the accident. If you feel that a workers’ compensation claim was unjustly denied, or you are unhappy with a proposed settlement amount, you can challenge the decision by contacting the Tennessee Bureau of Workers’ Compensation and filing an appeal.

Find the Best Workers’ Compensation Insurance in Jackson

If you are looking for a great workers’ compensation insurance policy, a local independent agent can help you find an affordable policy. These agents can match you up with insurance companies that specialize in covering businesses in your industry and can help you compare customized quotes from each of them. Discover the many benefits of working with a local, independent insurance professional. 

Contact an insurance agent in or near Jackson to get started.