Does Your Business Need A Workers Comp Policy If You Already Have A General Liability Policy?

We hear it from business owners all of the time. “We already have a general liability policy, so we don’t need a worker’s compensation policy”. 

This is a very common misconception that could end up putting you out of business. A workers comp and general liability policy are two completely different and separate policies-- ALWAYS.

If you have 1 or more employees or even if you use 1 or more subcontractor that is uninsured, you absolutely need a workers comp policy in addition to your general liability policy. 

Your business’ commercial general liability policy covers your company from lawsuits from a third party. If a customer slips and falls in your office, for example. 

Your workers comp policy covers your company from lawsuits from an employee who was injured while performing their job duties. If your employee slips and falls at work, workers compensation is the only policy that would protect your company.

WORKER’S COMPENSATION INSURANCE COVERAGE IS A POLICY DESIGNED TO COVER THE EMPLOYEES IF THEY ARE INJURED WHILE WORKING ON THE JOB. 

In Georgia, if an employee is injured on the job and you are not providing worker’s compensation benefits then you are responsible to pay their medical bills for the injuries and their loss time.  In addition to this, you’ll receive a pretty hefty fine from the State of Georgia. This combination of expenses can amount to several hundred thousands of dollars. That’s a lot of money to almost every business in Georgia and will put most small Georgia businesses completely out of business.

Worker’s compensation insurance premiums are composed based on the amount of payroll and the type of work the employee is completing.

For instance, a construction company has construction workers using heavy machinery and on dangerous job sites, which present a pretty big risk. The same company may have administrative employees that do paperwork in an office setting, which presents far less of a risk.
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You work too hard for your business to have it suffer financially because you did not have the proper insurance protection. Call us today to make sure your Georgia business is properly covered from all that life throws at it.

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