Most states require you to buy Workers’ Compensation insurance the moment you hire your first employee. If you don’t, you’ll face penalties. But it’s worth having anyway. It protects your business from the cost of workplace injuries to your staff. And these can be crippling. It’s not just the lost productivity. Without insurance, you’ll have to find the cash to cover your employee’s medical expenses and replace their missed wages. And if you’re sued, there’ll be legal costs to pay, too. If one of your employees falls ill as a result of working for you, or gets hurt while they’re on the job, workers’ comp insurance can pay for medical bills, lost wages and legal expenses. It can also protect you from a lawsuit - no matter who’s at fault.

Specifically, workers’ comp protects your business from claims for: Injury, or loss of limbs Repetitive motion injuries Work site accidents Medical treatment Lost wages (up to limits) Death and related costs It can also protect your business from injured employee lawsuits.

It varies. It depends on things like the number of employees you have, the industry you’re in and the number of incidents you’ve had in the past. But if you’ve got work safety programs in place and maintain a drug-free workforce, you could get a discounted rate.