Workers’ compensation insurance can help ease your mind that your business and your employees are protected in the case of any work-related injuries or illnesses.
Insurance helps finance any necessary medical treatment for your employees, among other coverages such as transportation to and from medical treatment, and compensation for any missed work due to work-related injury or illness.
Read on to learn more about what to keep in mind as you navigate workers’ compensation coverage for your South Carolina business.
Part-time workers and family members are considered employees and must be included as employees covered under workers’ compensation coverage.
Under the Workers’ Compensation Act, nonprofit and for-profit organizations are treated the same way in terms of workers’ comp insurance. If your business is a non-profit organization that employs four or more employees, you’re required to maintain this type of insurance coverage.
If you’re a general contractor, you’re required to have workers’ comp insurance. Employees of a subcontractor are statutory employees of a general contractor. In the case of subcontractors that neglect to maintain their own workers’ compensation insurance coverage, a general contractor is liable for their statutory employees.
If you’re a subcontractor with fewer than four employees, your general contractor may still require you to obtain workers’ compensation coverage. The general contractor may do this to avoid the liability of a workers’ compensation claim from an uninsured employer or subcontractor.
Not sure who qualifies as an independent contractor? An independent contractor is someone who specifically operates under an independent contractor agreement with specific terms of the contract. Independent contractors also use their own equipment and tools for work. They set their own rates, labor schedules, and payment.
Even if you pay your workers via 1099, you may still be required to supply them with workers’ compensation insurance coverage. There are various determining factors for whether you must supply coverage in addition to the method of payment to workers.
You can obtain workers’ compensation insurance through a commercial insurance carrier that’s licensed to write coverage in the state of South Carolina.
You can also obtain insurance via the state of South Carolina’s assigned risk program. This program is administered by the National Council on Compensation Insurance (NCCI).
Workers’ comp insurance not only covers any necessary medical treatment for employees affected by an on-the-job injury, but it can also help cover any expenses incurred for travel to receive medical treatment.
Your insurance representative will reimburse you for mileage to a medical facility that’s more than five miles away from the employee’s home.
To keep track of these expenses, inform your employee to save receipts for bills such as lodging, meals, and public transportation. They’ll need to submit these receipts to your representative to receive reimbursement.
Your employees will have options if they can’t provide their own transportation to medical appointments if they contact your representative. They’ll also need to attend scheduled medical appointments and take the appropriate steps to improve their health to receive weekly wage loss checks.
Remember, every situation is different. South Carolina workers’ compensation laws are subject to change, so be sure to do your research and speak with a trusted advisor.
Please note that this content is intended for educational purposes only. As laws change regularly, refer to your state legislation and/or an advisor for specific legal counsel. If you’re a small business owner, learn more about the basics of workers’ comp or check your current rate in 3 minutes.