Most U.S businesses and organizations have employee compensation programs that protect employees and employers. Under these programs, employees are compensated for medical expenses and loss of income following an accident, while businesses mitigate expensive and lengthy workplace injury lawsuits.
Most workman’s compensation cases don’t require individuals to prove the party at fault. Employees also lose the right to file lawsuits against businesses for pain and suffering. Instead, it covers random workplace injury cases resulting from ordinary negligence.
However, the immunity of businesses and employers to lawsuits is not absolute. A successful personal injury lawsuit is costly and can affect your business. Below are a few workplace accidents that can affect your business.
1. Deliberate or Intentionally Caused Injury
Workman’s compensation cover protects employees from injuries and damages resulting from business processes. However, if the injury results from deliberate or intentionally caused accidents, such as physical altercations at the workplace, it won’t be considered a work-related injury. Deliberate injuries are called intentional torts and include emotional harm.
For instance, physical altercations can result in fights and body injuries with life-long consequences. Business owners who cause such injuries are liable for costly personal injury lawsuits. This can lead to business closure and criminal trials. Employees can visit this website to learn more about personal injury and disability lawyers.
2. Toxic Torts
Employees working in environments with toxic or volatile chemicals are also protected by compensation cover. However, they can successfully initiate other claims apart from the worker’s compensation policy using the toxic tort law.
If your business deals with highly volatile chemicals, employees can successfully file claims for injuries and damages resulting from handling these chemicals. The courts have, in previous incidences, ruled that cases involving known toxic chemicals supersede the employer’s immunity.
3. Employee Injuries Caused by Non-compliance
While having a worker’s compensation cover is important, businesses should also adhere to approved federal and state employment guidelines and the Occupational Health and Safety laws protecting employees from workplace injuries. Failure to observe these conditions subjects your business to lawsuits and liability in the event of an accident.
Businesses should be aware of all potential safety and health risks and make efforts to protect employees from sustaining injuries. For instance, failing to provide personal protective equipment against loud noise, asbestos exposure, and other risks makes your business liable for prosecution. These lawsuits are expensive and can force your business into closure.
4. Operating Without Workers’ Compensation Insurance
All employer and employee workplace-related injuries revolve around workers’ compensation cover. All businesses with employees should take a worker’s compensation insurance policy to protect employees from workplace injuries. Failing to take the insurance cover is a receipt for personal injury lawsuits.
Worker’s compensation insurance protects your business from prosecution. Operating without this insurance cover means your employees can sue your business if they sustain injuries while at work. Employees will sue the business not only for the loss of wages but also claim current and future non-financial damages.
Regardless of the cause and extent of employee injury, the indirect costs of workplace accidents on your business often surpass the actual costs. Apart from lost productivity, cost of training new employees, and damaged reputation, your business suffers significant financial loss to settle these claims.