Workplace safety isn’t optional. It’s the law. Failure to take steps to ensure a safe workplace for all employees can have immense consequences not just for the workers themselves, but also for the business as an ongoing concern. Failure to enforce workplace safety standards and failure to maintain adequate insurance coverage can mean bankruptcy for small and medium-sized businesses in the event of a serious accident.
Many workers are unclear on the difference between disability insurance coverage and workers compensation insurance. Often, workers will decline optional disability insurance coverage, however badly needed – because they think they are covered under their employer’s workers compensation plan. This is usually a mistake.
The mere mention of a workers’ compensation audit is enough to strike fear in nearly any small business owner. For anyone who is scheduled for an audit, there is no need to worry or be fearful. With a little bit of common sense and preparation, much money and aggravation can be spared.
It is important to devote a few hours to setting up preparations. This small step can prevent days and weeks of hassles in the future. Business owners should plan to give their full attention to the auditor throughout the process, which can take several hours from start to finish. For this reason, it is important to make sure the time and date are both convenient. If the audit has been rescheduled or was not set for an appropriate time, call to reschedule it.
How does safety pay dividends to the small business owner? Time and resources spent on developing a culture of safety repays the business in the long run. Safety cultures rely on reducing the number of workers compensation claims, in return, the odds of a disastrous claim are reduced.
Small business owners with workers’ compensation experience modifications above 1.25 need to review their safety policies with professionals. It is possible one year or even one claim causes this situation; but it should not be ignored. Discover and repair the root cause.