Simply Business homepage
Call Us(844) 654-7272
Get a QuoteSign In
WORKERS' COMP|BUSINESS INSURANCE 101

The Basics of Workers' Comp

3-minute read

The_Basics_of_Workers_Comp@1x.png
Ed Grasso

Ed Grasso

6 February 2024

Share on FacebookShare on TwitterShare on LinkedIn

Understanding business insurance isn’t easy. And understanding workers’ compensation? That can be like trying to translate Japanese with only a conversational Italian dictionary. Is workers’ comp taxable? What are workers’ comp monopolistic states? How does workers comp work in Illinois? There can be a lot of questions when it comes to workers’ compensation insurance.

To help, we’ve gathered some of our most helpful articles and put them together here in our guide to Workers’ Compensation Basics.

Topic 1: Workers’ Compensation Insurance – Let’s Start Here

As we've mentioned, workers’ comp can be complex and can vary from state to state. This guide can be a great place to begin to get up to speed on workers’ comp basics, such as:

  • An overview of workers’ compensation insurance
  • Which businesses need it, and when
  • How workers’ comp insurance works
  • 5 benefits of workers’ compensation insurance
  • What workers’ compensation does and doesn’t cover

Read Topic 1

Topic 2: A Smart Buyer’s Guide to a Workers’ Comp Policy

Knowing if and when you need workers’ compensation is a good first step. For the next topic in workers’ compensation insurance basics, this guide can help you with the process of getting coverage in place.

Some of the information we cover includes:

  • Mistakes to avoid when buying your policy
  • How to get workers’ comp insurance
  • Workers’ comp and taxes
  • How to save on your policy

Read Topic 2

Topic 3: Workers’ Comp Insurance for the Self-Employed

When you’re self-employed, you do the work yourself, you do the billing yourself, and you likely even empty wastebaskets and clean up yourself. There’s a lot of emphasis on “self” in “self-employed.”

Is workers’ comp insurance for self-employed workers right for you? This workers’ compensation basics guide can help you find out for yourself with information, such as:

  • Why you might consider it
  • What it usually covers
  • If it's required
  • How to buy it and what it might cost

Read Topic 3

Topic 4: Ten of the Most Common Workers’ Compensation Claims

Do you know what injury ranks #1 for workers’ compensation claims? No spoilers here, but we will say that it accounts for just over 30% of total workers’ comp claims. In the guide for this topic, we’ve got more information on all top-ten workers’ compensation claims — along with tips on how to prevent them.

Read Topic 4

Topic 5: Monopolistic Workers’ Comp States

What is a monopolistic state? While this question isn't likely to come up at a weekly Trivia night, it may come up if you own a business in North Dakota, Ohio, Washington State, or Wyoming.

These states require that you purchase insurance from that state’s workers’ compensation program.

If your business operates in one of these states, this workers’ comp basics topic can tell you more about:

  • What working in monopolistic states means for employers
  • Self-insurance options are and the state requirements
  • Legal protection for your business in a monopolistic workers’ comp state

Read Topic 5

Topic 6: What is a Workers’ Comp Ghost Policy and Do You Need One?

Don’t worry. It’s not as scary as it sounds. In fact, a ghost insurance policy may be just what you need if you’re a sole proprietor with no employees.

This workers’ comp basics topic demystifies ghost policies by covering a host of subjects, including:

  • What is a ghost policy?
  • Are ghost policies legal?
  • Why do ghost policies exist?
  • What do they cover?
  • Is a ghost policy right for you?

Read Topic 6

Workers' Compensation? We Can Help with That

Small business insurance is what we do, and that includes workers’ compensation. Whether you need workers’ comp basics, an online quote at 3 a.m., or you want to talk with a licensed agent, we’ve got you covered.

We understand the different workers’ comp regulations in all 50 states (plus the District of Columbia), so there’s a good chance we can answer your questions and get workers’ compensation insurance for you in just a few minutes, online or over the phone.

Get Insured in Under 10 Minutes

Get an affordable & customized policy in just minutes. So you can get back to what matters: Your business.

Start Here>

Building on the Basics

We don’t just spend time helping small business owners find insurance. We also help them understand what they need and what they’re buying. That’s why we built an online Resource Center with a considerable number of articles, guides, and tools to help tradespeople, professional services, retailers and restaurateurs, health and wellness practitioners, and many other business owners.

We’re constantly adding to those resources as well, with new articles and guides each month. If you’re looking to boost your business and insurance knowledge, feel free to browse what’s new each month or sign up for our regular emails and get helpful business and insurance info dropped right into your inbox.

Ed Grasso

Written by

Ed Grasso

As a 9-year-old at summer camp, I hated it — especially after being pulled screaming from the pool during the swimming competition. While this left me without an aquatic achievement patch, it also inspired the letter to my parents that got me an early release from Camp Willard. That showed me the power of writing. I’ve done my best to use it only for good ever since, such as writing helpful articles for small business owners.

Ed writes on a number of topics such as liability insurance, small business funding, and employee management.

This content is for general, informational purposes only and is not intended to provide legal, tax, accounting, or financial advice. Please obtain expert advice from industry specific professionals who may better understand your business’s needs. Read our full disclaimer

Find this article useful? Spread the word.

Share on Facebook
Share on Twitter
Share on LinkedIn

INSURANCE

Business InsuranceGeneral Liability InsuranceWorkers Compensation InsuranceProfessional Liability InsuranceErrors & Omissions InsuranceSole Proprietors Workers CompensationCyber InsuranceSelf-Employed Insurance

BUSINESSES

Contractors InsuranceCleaners InsuranceE-commerce InsuranceHandyman InsuranceHome Improvement Contractor InsuranceLandscaping InsuranceLawn Care InsurancePhotographers Insurance

ABOUT

About usContact UsCareersSite MapInsurance Providers

SIMPLY U

General BusinessProtect Your BusinessStart Your Business

ADDRESS

Simply Business1 Beacon Street, 15th FloorBoston, MA02108

LEGAL

Terms & ConditionsPrivacy PolicyPrivacy Notice for CA ResidentsResponsible Disclosure Policy

*Harborway Insurance policies are underwritten by Spinnaker Insurance Company and reinsured by Munich Re, an A+ (Superior) rated insurance carrier by AM Best. Harborway Insurance is a brand name of Harborway Insurance Agency, LLC, a licensed insurance producer in all 50 states and the District of Columbia. California license #6004217.

© Copyright 2024 Simply Business. All Rights Reserved. Simply Business, LLC is a licensed insurance producer in all U.S. States and the District of Columbia. Simply Business has its registered office at Simply Business, 1 Beacon Street, 15th Floor, Boston, MA, 02108. In California, we operate under the name Simply Business Insurance Agency, LLC, License #0M20593. In Colorado, we operate under the name Simply Business, LLC DBA Simply Business Insurance Agency. In New York, we operate under the name Simply Business Insurance Agency. In Pennsylvania, we operate under the name Simply Business Insurance Agency, LLC. In Texas, we operate under the name, U.S. Simply Business, LLC. For more information, please refer to our Privacy Policy and Terms & Conditions.