Covid 19 and Workers' Compensation Coverage

*This information is a summarization and not intended to be legal advice.

What Employers Need to Know About Coverage related to Covid 19

We recognize that these are challenging times for many people and small business owners around the county. Our thoughts go out to anyone dealing with health or other issues related to this virus.

You can expect us to make every effort to work quickly on your behalf with regard to policy changes, audits, renewals and claims. We are fully operational and running without interruption. The vast majority of our staff are now working remotely.

Billing and Payments

Our insurance partners are able to assist companies with cashflow issues and most are willing to suspend cancellations and late payment penalties through May 1. Customers can request adjustments to their current payroll through our Service Team and Agents. We advise customers to continue making normal payments if they are financially capable.

Renewals and Audits

We are working with our partners to relax underwriting requirements and minimize the request for additional information about your coverage or operations. We are working to make renewals as easy as possible.

Carriers are not requesting any in-person meetings at this time. Most of our carriers are committed to being flexible on non-compliance notices, final audit completions and audit payments at this time.

What if an Employee Gets Diagnosed with Covid-19?

Workers' compensation insurance helps employees recover from work-related injuries and illness. Most states have similar rules regarding conditions that do not arise from an accident. Employees generally have to prove the injury or illness was caused by an inherent risk of the job and that the injury or illness occurred at work. While it seems unlikely that the vast majority of Covid-19 claims would be covered under workers' compensation insurance, employers have the right to file a claim with their insurance company.

If an employee is diagnosed with Covid-19 and indicates that their sickness arose from their work environment, employers may choose to file a claim with their carrier. The insurance company will investigate each claim scenario and determine the appropriate course of action. Because of the nature of this outbreak, it is possible that some claim scenarios could be determined in each states' court systems.

Working Remotely

We understand that many businesses are transitioning employees to a home-based workforce. Your employees should continue to be covered under the policy. Workers' Compensation is not based on where the work is performed within the state, but rather the nature or scope of the work performed.

If you have employees who are now working in another state due to telecommuting, you should notify us to make sure your policy includes coverage for that state. In some cases, we may need to add other states to your policy with an endorsement.

Changes in Operation due to Covid-19

Many businesses are experiencing temporary changes in their normal exposures and operations. While insurance companies may be flexible with customers, it is important to communicate any changes that may affect the classification of employees to us.

Additional Resources

CDC Resources fro Employers

SBA Small Business Loans for Covid 19

Chamber of Commerce- Combating Coronavirus

OSHA Guidance on COVID-19

Business Resources for Surviving the Coronavirus

A Final Thought...

This is indeed a strange time as we are in uncharted waters with this pandemic. Now is an important time for calm leadership, critical and creative thinking, and compassionate support for everyone around us. Simply stated, please be good and be kind to each other.

Workers compensation insurance for small business owners.
Visit NCCI for more resources and information about workers' compensation class codes. Visit United States Department of Labor for more information about government agencies managing workers compensation insurance rates.

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