What’s Occupational Accident Coverage and how does it impact my workers’ compensation premiums?

Posted on: June 17, 2013 | Comments Off

Do you have Independent Contractors on assignment? Have you thought about options on how to protect your independent contractors and your staffing firm if they get hurt while on assignment for you?

Many staffing firms have independent contractors who work on assignment. An independent contractor has an independent contractor’s agreement and is on assignment but is not an employee of the Staffing Company.

The big question is what would happen if the independent contractor gets injured while on assignment? Who is responsible for paying for the injury? Unfortunately workers’ compensation claims can be pushed to the Staffing firm, affecting your experience modification and ultimately driving up your cost for workers’ compensation.

We’ve introduced an Occupational Accident Program for some of our staffing firm clients.

Occupational Accident is coverage for independent contractors and responds with similar benefit as workers compensation. The independent contractor purchases the coverage for when they are on assignment from our staffing customers.

Occupational accident coverage offers medical benefits, disability coverage and death benefits to the independent contractor.

Our staffing customer still has its W2 employees under its workers compensation policy which is required. Our staffing clients are now confident that their independent contractors have independent coverage when on assignment.

 

The cost to the independent contractor is minimal and responds to claims instead of your workers’ compensation insurance.

Our customer also bought a covering policy called contingent liability to protect their organization against claims that the independent contractor would make against them for workers compensation. Our carrier, if a claim is made by the independent contractor for workers compensation would step in and defend our staffing firm against that claim. Our staffing customer has no defense cost to worry about in such a situation.

For more information Call Today!

Tom Kane 800-970-9778 x194 or email TJKane@nsminc.com.

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