The trickiest program to get right
Workers compensation may be the hardest insurance program to understand, which makes compliance a matter of faith in the placing agent. Each state administers its own statute, with its own rate filings, payroll rules and owner participation guidelines. Most states allow private carriers to compete, while some operate monopolistic state funds.
The statutory benefits portion covers compensable injury and disease on a strict liability basis, with the statute setting medical and wage benefits. Employers liability responds to tort claims outside the statutory system, and the insured needs adequate employers liability limits everywhere it operates.
What the agent must do
- Keep up with changes in statutory benefits in each state
- Encourage clients to call before starting work in a new state, then confirm every territory is covered
- Confirm employers liability applies everywhere the client is exposed
- Advise on properly administering subcontractors
Any misstep can mean state penalties or a large uncovered claim, and often an E&O claim against the agent.
Mr. Sapourn is retained by both plaintiff and defense counsel for case analysis, opinion reports, affidavits, depositions and trial testimony. Request his CV and Rule 26 disclosure through the contact form.