Does your business need workers compensation insurance?

Workers compensation Insurance protects businesses from expenses resulting from on-the-job injury or illness.

Being an entrepreneur can be a lot of fun, but it’s also hard work and involves risk. But, you don’t need to leave your business at risk.

Workers compensation insurance is something almost every business needs – whether you have employees or not. You’re probably wondering, “Why do I need workers compensation coverage if I don’t have employees?” It’s in the fine print – sole proprietors typically take out a workers’ comp policy when a contract requires them to do so. Workers’ compensation insurance protects businesses from employee expenses that are the result of an on-the-job injury or illness. It’s a common consideration for restaurants, medical offices and construction companies, but it’s also needed for many professional services businesses like IT consultants, marketing consultants, and business consultants.

Texas is the only state where employers have the unique ability to opt out of workers’ compensation insurance and even in Texas an estimated 65% of businesses carry workers’ compensation coverage anyway. According to a recent article by Business Insurance News workers’ comp claims are leading to rising costs for insurers resulting in slight rate increases for small business owners. It’s not something you like to hear, but insurance companies are there to protect you and your business in the event of a claim so make sure you’re protected.