Work compensation insurance is a type of insurance that is designed to protect employers and employees in the event of an injury or illness that occurs while on the job. It covers medical expenses and lost wages due to a workplace injury or illness. It is also known as workers’ compensation insurance.

Workers compensation insurance is mandatory for employers in most states. The primary intent of this type of insurance is to ensure that employees do not suffer financially if they become injured or ill due to a work-related incident. This type of insurance also helps employers in the event of a lawsuit from an injured employee.

The amount of compensation that is paid out by work compensation insurance depends on the type of injury or illness and the laws of the state in which the incident occurred. In general, the insurance pays for medical bills, rehabilitation costs, lost wages, and funeral expenses if the incident results in death.

Work compensation insurance can also cover family members if they are affected due to an employee’s injury or illness. This type of insurance is usually offered through an employer’s insurance provider, although some states do require employers to purchase the insurance on their own.

In the event that an employee is injured or becomes ill while on the job, they should contact their employer’s human resources department to learn more about their rights and the process for filing a claim.

Employers should also be sure to provide their employees with the necessary forms and paperwork to ensure that they get the compensation they are entitled to.