It’s always a nice feeling knowing that in the event of an accident, your workers comp insurance will have your company covered, paying for all the related expenses. With that being said, you must also realize that there is more to do than just signing up and paying your premiums. In this blog post we will explain to you the proper steps to be taken after you purchase workers comp insurance, which will help you long term.
One of the most basic things to do after purchasing your workers comp insurance is to get familiar with your policy. Reach out to your agent and be sure that there aren’t any mistakes. Checking basic information like company name and address is a good place to start. Also pay attention to the classification codes on your policy, as they are directly related to the amount you pay in premiums. The codes reflect the type of business your company does, and in the event of an error, you could end up paying more for premiums. You wouldn’t want to pay the same amount as a company doing dangerous work would you?
Secondly, be sure that coverage B, or part two, of the policy is attached. This section of the policy is known as employer’s liability and protects against work related liability suits or claims which are not covered under the main policy.
The last thing you should do after purchasing a workers comp policy is inform your Agent of any business performed outside of the state you reside in. Each state represented by your business must be properly rated and included on your policy. Failure to provide this information could lead to a declination of coverage if an employee of that location was injured.
Your workers comp policy is a contract you should read not only so you can understand it, but also to make sure that it is accurate. These small checks and balances can make all the difference with respect to price, so be sure to follow up after you finally make your purchase.