California Workers’ Compensation Insurance – A Guide for Employers

Employers in West Hollywood know work-related accidents and injuries can happen in all types of industries. Some of these work-related injuries can be avoided if the employer implements a simple risk management program and enforces safety procedures. Other accidents are simply accidents that happen and are unavoidable. Faulty equipment, slip and fall claims, automobile accidents while on company business all contribute to unforeseeable workers’ compensation claims. As an employer, you need to purchase California Workers’ Compensation insurance for your West Hollywood business from Makar Technique Insurance Agency serving the greater Southern California area.

 

California Workers’ Compensation Laws and Requirements

For employers in California Workers’ Compensation is mandatory even if you hire just one part-time employee. Severe penalties can result when an employer does not provide workers’ compensation insurance benefits to their employees. Also, the purchase of a Workers’ Compensation insurance policy through Makar Technique Insurance Agency is the best way to transfer your risk from you as the employer to another party namely the insurance company providing the California Workers’ Compensation and Employers Liability coverage. 

 

Workers’ Compensation Insurance Coverages, Benefits, & Rates

A Workers’ Compensation insurance policy provides benefits to the injured employee as provided by statute. This payment benefit is clear and concise as the benefits and the number of benefits an injured employee is entitled to. 

The premium you will pay to purchase a Workers’ Compensation insurance policy is dependent upon several factors. The major determining factor is the class code assigned to your business type by the WCIRB (Workers’ Compensation Insurance Rating Bureau). 

Some class codes cannot be divided by work duties. For example, all employees in a Dental office are classified under the Dentist class code established by the WCIRB. You cannot separate the front desk help into a clerical class code to obtain a lower rate. The class code will tell you “all employees” if a division of labor is not permissible. 

Workers’ Compensation insurance companies charge a base rate based on class code. The base rate applies per $100 of payroll. The rate can be credited or debited depending upon your experience modification factor. If you do have an experience modification factor that factor will largely drive your annual premium up or down. Anything under an experience modification of 100% on your Workers’ Compensation will be attractive to Workers’ Compensation insurance companies. 

Almost all insurance agents have access to standard Workers’ Compensation insurance companies in California. Knowing the right company to turn to is key to getting you the best coverage possible. One thing you want to avoid is changing Workers’ Compensation insurance policies every year to go to the newest Workers’ Compensation insurance company. You will find over time that companies providing Workers’ Compensation insurance jump in and out of California. 

Changing companies create havoc in getting your loss history as most companies want to look back at least five years to see your claims history. They also want to check to make sure you did not leave any audits unpaid. Never leave an audit that generates an additional premium unpaid. If you have an audit dispute get your agent involved, pay the undisputed portion of the audited premium, and work with your agent and the insurance company auditor to get it resolved.

 

How We Can Help You With Your Workers’ Compensation Insurance Needs

By putting your trust in your independent insurance agent at Makar Technique Insurance Agency you will find the right California Workers’ Compensation insurance policy. One thing that is important to note is that starting your Workers’ Compensation insurance history is much like building your credit. It is tough at first but it does get easier as the years go by. 

 

Call our West Hollywood office and speak to one of the representatives in our Workers’ Compensation insurance division to see how we can help you with this mandatory and valuable insurance coverage. 

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