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Permanent Disability from Work Accident: 3 Things Employers Should Know

Permanent Disability from Work Accident: 3 Things Employers Should Know

Work accidents are unavoidable occurrences that may happen to employees.  That’s why employees adhere to safety standards to protect themselves from injuries or work hazards.  On the other hand, employers must install safety gadgets and post warning signs and safety standards guidelines to alert and remind their staff of potential dangers.

Moreover, because accidents do happen, employers should consider more than just safety precautions. They need to provide employee benefits in their business plan not only to safeguard their employees but also to compensate for losses incurred due to employee injury claims.

Unavoidable circumstances where employees may suffer injuries leading to impairments and disabilities may occur as well. Disabilities prevent employees from fulfilling their duties and responsibilities and include total, partial, temporary, or permanent disabilities.

What Is Permanent Disability?

An unavoidable workplace accident may leave your employee injured or sick. This sickness or injury will make your employee unable to report for work.  It may just be a temporary work stoppage where your employee may return to work after recovery, but in some cases, the sickness or injury may keep your worker from returning.  Permanent disability refers to the employee’s complete inability to return to work.  The worker, in this case, is physically or mentally unable to perform beneficial work.

When this happens, the employee may then claim SSD benefits and other compensation as support. Benefits are frequently regarded as compensation for employees who lost their opportunity to earn.  They’re also given permanent disability benefits to compensate for the loss of future capacity to make a living due to work-related sickness or injury.

What Are Work-Related Injuries?

Work-related injuries are defined as any injury, illness, or condition your workers may suffer while performing their tasks.  The injury sustained must be due to an accident or hazards in the workplace. Some of the common work-related accidents are falling, slipping, tripping, getting hit by fallen objects, and inhaling toxic fumes. Injuries that employees may suffer from because of work-related accidents include cuts, burns, fractures, and amputations.

On the Premises

The injury or sickness is due to an accident or incident that happened while the employees performed their tasks on the company’s premises. Some accidents take place during machinery operations or production processes.

Outside the Premises

The employee gets injured while completing duties outside the company’s premises. The situation usually applies to employees who were met with an accident while doing errands or processing business transactions off site.

Some states have provisions that recognize work-related injuries that occurred when employees  were on their way to work.

The injuries suffered are categorized into physical injuries, occupational illnesses, and repetitive stress injuries. Loss of limbs and sight are examples of resultant disabilities. These work-related conditions allow employees to file claims under the permanent disability benefit provision and claim compensation prescribed by law.

Who Are Your Employees?

Whether you’re a business for profit, a non-profit organization, or an independent contractor, you should adhere to the provisions of the Workers Compensation Law. Employers are required to offer compensation insurance to each employee.

The law defines an employee as working under the employer’s direction, control, and supervision.  On the other hand, the employer must have authority over the worker, whether on the company’s premises or outside the premises.

Types of Employees

  • Full-time
  • Part-time
  • Temporary
  • Seasonal
  • Casual
  • Leased
  • Unpaid (family and volunteers)

How Can You Pay the Compensation?

Employers need to have workers’ compensation insurance under the Federal Employees’ Compensation Act.  Employees should have a disability and Paid Family Leave benefits as part of their compensation package. This compensation package is your financial source for employee claims that may be filed.

The Employee Compensation Insurance Policy

In some states, employers are required to have compensation insurance policies for their workers.  You need to pay the premiums for your employees’ compensation insurance policies because it’s unlawful to collect the premium from your worker’s wages.

You can always pre-qualify offers from private insurance providers for your employee compensation insurance policies.  There are also a lot of them at your state’s public insurance center. However, you may opt to do self-insurance and have a program or a subsidiary that will cover your employees’ compensation.

Under an employee compensation insurance policy, you will have the advantage of having the insurer represent you during insurance claims transactions. Their representation will relieve you from financial burdens and other stress from employee claims and processes.

In a Nutshell

Permanent disability from a work accident will cause you and your employees financial loss. Therefore, it’s important to be knowledgeable about employee claims, especially permanent disability benefit claims. Knowing what injury is covered and whether the claims are valid will keep you and your staff from the hassles of litigation. Lastly, make sure to find reliable insurance companies that offer more benefits in their insurance policy.

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by Marissa Collins //

Opinions expressed by contributors are their own.