Workman’s compensation is a type of insurance that pays or substitutes as payment for lost wages and provides reimbursements for medical expenses incurred by people who get injured or hurt while doing their job. It is actually a federal law that imposes the employers to procure workman’s compensation programs for all their employees but the compensation package itself must be based on the state or local laws where the business is situated. Workman’s compensation seeks to reduce or even eliminate the possibility of lawsuits arising from injuries sustained by employees or workers while they are on the job. In the event of a worker’s injury, he will receive compensation, in exchange for not suing the company for damages. It is the statutory compensation law that will allow a detailed bill to be drawn up and the payments established once an employee is hurt while on duty. The payment will depend highly on the kind of injury that was sustained by the employee. This means that if the injury is only light, the payment that will be made will only be minimal because the employee will be able to continue working thus maintaining his employment status with the company. If the injury has rendered the employee unproductive and won’t be able to work for a long time, then the payment would be a lot more and he would also get reimbursements for other expenses incurred as a result of continued therapeutic, medical and travel expenses.
In cases where the employee was disabled due to the incident, workman’s compensation also provides for disability compensation aside from the usual reimbursement that will be remitted by the insurance. The amount in this case will be based on the extent of the disability of the individual. It is the federal and State Government in the U.S that provides one of the best if not the best workman’s compensation package. The U.S. Government has four basic workers’ compensation programs that benefits federal and state employees. They are the federal employees’ compensation program, the Energy Employees Occupational Illness Compensation Program, the Black Lungs Benefits Program and the Long shore and Harbor Workers Compensation Program. The first one applies to all federal employees while the last three apply to workers of specific industries vital to the economic interest of the country such as the mining, energy and sea transport industries. There are private and state ran businesses that sometimes shortchanges the workers or employees who need compensation from injuries sustained while at work. It is best that injured worker should also seek assistance from a legal expert in claiming compensation for work related injuries.
The Value of Workman’s Compensation