What to Know about Workers’ Compensation Insurance

What Does Your Workers’ Compensation Insurance Policy Cover?

In Kentucky, employers are required by law to report any workplace injuries and work-related illnesses, regardless of their severity. Workers’ compensation insurance helps to prevent these injuries from causing large financial losses for employees, while protecting employers from potential liability lawsuits. You can expect your Kentucky workers’ compensation policy to cover the following:

1. Medical treatment: Kentucky workers’ comp uses a managed care program to cover all medical treatment that is reasonable and necessary. It is illegal for the employee to be charged a copay or balance billing. Covered medical care will continue until the injury or occupational illness is resolved.
2. Travel reimbursement: To prevent the treatment of work injuries from causing financial hardship, workers’ compensation can reimburse employees for reasonable expenses related to travel to and from medical appointments and pharmacies. Employees should keep records of mileage, tolls, and other expenses and request reimbursement within 60 days.
3. Temporary disability payments: If an employee needs eight or more consecutive calendar days off work to recuperate from a workplace injury, workers’ compensation will provide them with weekly payments of two-thirds of their average weekly wage until they reach their maximum medical improvement (MMI) or return to work.
4. Permanent disability payments: If an employee is permanently disabled, workers’ comp will provide them with weekly payments of two-thirds of their average weekly wage for a length of time that is determined according to their impairment rating. Employees who are totally disabled can collect benefits for life.
5. Death benefits: If a work-related injury or occupational illness results in death within four years from the date of the injury, a lump sum payment of approximately $70,000 will be made to the employee’s estate, from which burial expenses may be paid. Additionally, the deceased employee’s spouse and dependents are entitled to receive weekly or bi-weekly income benefits.

Workers’ compensation claims may be denied for a number of reasons, such as if it is determined that the injury occurred outside of working hours, was intentionally self-inflicted, or was caused by employee drug or alcohol use. Employees and employers can file an appeal by contacting the Kentucky Department of Workers’ Claims, which will schedule a Benefit Review Conference. If an agreement cannot be reached at the conference, your case will be assigned a hearing date with an Administrative Law Judge.

Top Insurance Companies that Support Independent Agents in Kentucky

There are currently 331 independent insurance agencies in Kentucky that are ready to help you find the best workers’ compensation insurance policy to cover your business. Your agent can contact several different insurance providers on your behalf to help you find a competitively priced policy that is well-suited to your particular company. Talk to an agent near you to start comparing customized workers’ compensation insurance quotes.