Protecting your team and your business

Workers' Compensation Insurance

Workers' Compensation Insurance pays an employee's medical bills, rehabilitation, and a portion of lost wages when they're injured or made ill by their job — and in exchange, employees generally give up the right to sue their employer over it. Most states require it for any business with employees.

Who needs Workers' Comp?

Any business with W-2 employees (required in most states)
Construction and contracting companies
Manufacturing and warehouse operations
Restaurants and retail stores
Healthcare facilities
Even businesses with just one employee in many states

What's covered

Medical Expenses

Doctor visits, hospital stays, surgeries, medications, and physical therapy for work-related injuries and illnesses.

Lost Wages

Typically 2/3 of the employee's regular wages while they recover and cannot work.

Rehabilitation

Physical therapy, vocational training, and other services to help injured workers return to work.

Disability Benefits

Ongoing payments for employees who suffer permanent partial or total disability.

Death Benefits

Payments to dependents if an employee dies from a work-related injury or illness.

Employer Liability

Protection if an employee sues you for a workplace injury outside the workers' comp system.

What's not covered

Injuries from employee intoxication or drug use
Self-inflicted injuries
Injuries during commute to/from work (usually)
Injuries while violating company policy
Independent contractors (they need their own coverage)
Injuries from fights the employee started

Examples by industry

Health & Beauty

A stylist develops a repetitive-strain injury from years of cutting hair; workers' comp covers treatment and lost wages.

Food & Restaurants

A line cook suffers a serious burn during a dinner rush; workers' comp pays the medical bills and time off.

Cleaning & Maintenance

A cleaner slips on a wet floor and injures their back on the job; workers' comp covers care and recovery.

Professional Services

An employee develops carpal tunnel from desk work; workers' comp covers the treatment.

Retail & E-commerce

A stockroom worker injures their shoulder lifting boxes; workers' comp pays for medical care and lost time.

Transportation

A driver injures their back loading freight; workers' comp covers the medical costs and wages while they recover.

Technology

An employee is hurt in an office fall; workers' comp handles the medical expenses regardless of fault.

Home Services

A technician falls off a ladder on a job site; workers' comp covers the hospital bills and recovery.

Creative & Media

A camera operator strains their back hauling equipment on set; workers' comp covers treatment and lost wages.

Real Estate

An assistant is injured in a fall at the office; workers' comp pays for the medical care.

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Part of the Knack guide

Learn Workers' Comp alongside every other coverage in our full guide.

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Related coverages

Often purchased together

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