If you have employees on your payroll, chances are you’re legally required to carry Workers Compensation insurance. As a business owner, you may think this is just another expense eating into your bottom line, but that’s not the case.
Workers Compensation is a necessary investment in the long-term well-being of your moving company.
From a simple injury to a long-term illness, workplace injuries shouldn’t be taken lightly. As the owner of a moving business, you have an obligation to protect your employees.
The cost of Workers Compensation insurance is nothing compared to what you could pay out-of-pocket if one of your employees is injured on the job. Not to mention the potential legal ramifications and damage to your reputation. There are also indirect costs of workplace accidents and injuries. They include having to train replacement employees, create new work schedules, investigate accidents as well as put corrective measures in place. You may have to repair/replace damaged equipment and property; productivity can also drastically reduce. You must also deal with low employee morale.
For more knowledge on how workplace injury can affect your business, make sure to check out the Occupational Safety & Health Administration’s (OSHA) Safety Pays tool to estimate the direct and indirect costs to your moving business. You’ll then find out how much even minor accidents and injuries can negatively affect your moving company.
Now that you understand the importance of having Workers Compensation in place, learn how to prevent workers' compensation claims with these 3 tips:
1. Set Up A Safety Program
Injuries can be prevented before they happen. Putting a safety program in place can help you foresee and eliminate on-the-job hazards that can cause accidents.
A study by Safety and Health Magazine found that workplace injuries and death cost the American economy over $200 billion a year. The key takeaway is that investing in proper safety programs can save you big in the long-run. Apart from return on investments, having a safety program also shows that your moving company has interests in the well-being of its employees.
Setting Up A Safety Program
Are you ready to implement a safety program in your moving company, If yes, there are many helpful tips and tools that can get you started. Here are 7 core elements of health and safety practices that you can incorporate into your program.
Management leadership Safety and health practices should be one of the core values of your business. Preach safety to your employees and provide enough resources to support your managers to implement best practices.
Employee participation All workers should engage in every aspect of the safety program which includes setting achievable goals, detecting and reporting job hazards, investigating incidents and tracking progress.
Identify potential hazards Make sure that there are continuous plans to detect workplace hazards and risk evaluation.
Hazard prevention and control Work with employees in identifying, eliminating, preventing and controlling on-the-job hazards.
Education and training All workers should be trained on the basics of safety programs and how they can carry out the tasks assigned to them.
Program evaluation and improvement Create a safety team to monitor the progress made in the program, identify shortcomings and opportunities for improvement.
- Communication and coordination All hazards on the site should be communicated to all workers with a high level of commitment.
2. Build a Return-to-work program
Running a safety program doesn’t mean accidents won’t occur. If they do, a return-to-work program should be implemented.
The essence of a return-to-work program is to help injured employees resume work as soon as possible. Employees could be allowed to work part-time or a few hours a day with approval by the employee's medical provider.
A return to work program also comes with indirect cost benefits. It can help foster workplace relationship with injured employees as well as prevent hostility between both sides due to prolonged absence.
Implementing this program can also help increases the chance of an injured employee returning to work full-time after an accident.
3. Carry the Right Insurance
Workers compensation insurance covers workplace injuries and illness. This policy is often a legal requirement in every state once you have your first employee. So, as your business grows make sure you check with the appropriate government agencies in your state to ensure you’re meeting every requirement.
Movers face the risk of injuries every day just by doing their job. Muscle strains and back injuries are common so Workers Compensation is essential to protect you and your employees. In addition to accidents and injuries, Workers Compensation will cover work-related illness, repetitive stress injuries and disability claims.
It’s a common misconception that Workers Compensation insurance will be expensive. The price of your premiums will depend on the size of your company, and your individual risk profile, For example, a carrier will likely look into your claims history. If you’ve filed several claims in the past or been involved in litigation your premiums may be higher.
It’s also important to note that as you hire more employees your premiums may increase as well. However, having a strong safety record and educationals and preventative programs in place may help you get some discounts.