In most states, if you own a business or farm, you’re legally required to have workers’ compensation insurance to cover your employees. Workers’ compensation insurance provides disability income and covers medical expenses for employees who are injured on the job.
But what about business owners or farm owners who don’t have any employees or aren’t required by law to insure themselves? While it may not be required by law to purchase a workers’ compensation policy, all business and farm owners should consider sole proprietor workers’ compensation.
You may think your risk for an on-the-job injury is low. While people in physically demanding fields like construction and personal training may be at higher risk, people with desk-based jobs may also face slips and falls or back injuries from lifting things like copy paper or heavy water bottles.
Here are five reasons why every farm or business owner should consider workers’ compensation for self-employed coverage:
1. It Gives You Medical Coverage Without a Deductible or Copayments
Your health insurance policy may have a high deductible and copayments. It could also exclude work-related incidents, so if you injure yourself at work, you could be facing steep expenses. There isn’t a deductible or copayment on workers’ compensation medical coverage, and it’s designed to cover workplace injuries. Should an injury occur, treatment is typically available, affordable and timely.
2. It Helps You Keep Your Business Running When You Can’t Work
If you own a farm, ranch or business, you may be doing most of the work to keep it running. If you can’t work because of a workplace injury, you may not be able to manage all the tasks required of you. You could potentially even lose the business if you aren’t prepared for when the unexpected happens. With a workers’ compensation policy in place, you may have access to temporary total disability (TTD) benefits. These benefits could potentially help you cover the cost of hiring help when you’re unable to work due to an injury.
3. It Provides Medical Coverage That Can Last a Lifetime
Workers’ compensation medical coverage begins on the date you are injured and can last a lifetime. If your health insurance coverage changes, you won’t need to worry about medical care for problems that stem from your workplace injury if your ongoing injury is related to a covered worker’s compensation claim.
4. It Can Include Permanent Disability Insurance
If you’re disabled for life as a result of a workplace injury, permanent disability insurance may be a helpful safety net. This coverage can help you face financial burdens you may not have expected to encounter. Depending on the extent of your injury, you may be able to receive disability income for the rest of your life.
5. It Can Help You Build Your Business
As part of your business, you may do work for others on a freelance or contract basis. Those other companies may require that you have workers’ compensation insurance before they hire you. That way, they are protected if you get hurt while you’re working for them. Having workers’ compensation coverage may help you build and maintain your business.
You may also need sole proprietors’ workers’ compensation if you work in certain fields, in order to get a license, permit or certification.
Protecting You and Your Employees
Even when you do your best to keep your business or farm a safe place, accidents can happen in any workplace. Your local Farm Bureau agent can help ensure you have coverage that meets your needs and the needs of your employees, business or property. Reach out today to ensure you’re prepared for whatever the future may bring.