For entrepreneurs, the health of their business is their top priority.
While there are many ways to maximise business health – such as through sound business practises and taking security measures at physical locations – the right insurance policies can go a long way to providing the resources needed to weather any unexpected circumstances.
There are plenty of types of business insurance that can benefit a company. Auto insurance will protect against work-related car accidents. Public liability insurance helps in the event your business inadvertently causes harm to another person.
One of the most important types of insurance for a business to have is workers' compensation. This type of insurance is required by law in Papua New Guinea, and companies found to have employees but not workers' compensation could be subject to fines.
However, the law is only one factor in why workers' compensation insurance is so important for every business that hires workers to have.
Protect your employees
No one expects an accident to happen while at work or on the way to a jobsite, but these events do occur. If your employee is injured on the job, or traveling to or from work, workers' compensation helps out in several ways.
First, it can help cover medical expenses that result from the injury. This might include procedures like x-rays or surgeries, as well as physical therapy or other treatments.
Additionally, it provides reimbursement for lost wages after the employee is injured. Because they're unable to work, the income replacement can go a long way to helping the employee remain financially healthy during their recovery.
Protect workers' families
An employee injured at work may not be the only person disadvantaged. If a worker has a family that relies on their wages to keep their household running, everyone is at risk of financial hardship after that person becomes injured.
By providing workers' compensation insurance, you can be sure that your employees' families have peace of mind that they'll be able to cover necessary household expenses during their time away from work.
Additionally, without workers' compensation, that worker would have to pay for medical treatment from their own savings. This can detract from any savings that are intended for life-enhancing purchases, such as home repairs or a vehicle.
How workers' comp benefits your company
Workers' compensation can be a benefit to your company in addition to being compliant with the law and having the ability to help your employees and their families out when an accident occurs.
Employees want to ensure they're safe when they're at work. By having a workers' compensation insurance policy in place, you're signaling to prospective employees that you have the means to take care of them. It's a sign that you're a trustworthy employer, and could be one of the main advantages of seeking employment with your organisation.
Putting the right workers' compensation policy in place should be a priority, if you don't already have one. To speak with an insurance professional about your options, reach out to Trans Pacific Assurance Limited.