How to Get a Standalone Workers’ Compensation Policy

Insurance can be a complicated and confusing topic for many. When it comes to the coverage you need for your business, will you have to get a standalone Workers’ Compensation policy? Can you choose to get one?

A standalone insurance policy is often needed when a company’s current general liability insurance does not cover Workers’ Compensation. In fact, many states require companies to have workplace liability insurance as a specific policy. To get standalone Workers’ Compensation, review your current insurance coverage and your company’s risk factors. After you get quotes from our brokers, you can review them to ensure they are of the appropriate rate. Without standalone Workers’ Compensation insurance, employers might risk certain consequences, such as penalties for non-compliance and employee lawsuits.

For help finding a standalone policy for your business from our Workers’ Compensation insurance brokers, call the team at NPN Brokers today at (866) 340-9120.

What Are Standalone Workers’ Compensation Insurance Policies?

Standalone insurance policies cover specific risks and possibilities not covered by existing policies. For example, if you have general liability insurance for your company, you may also need to get Workers’ Compensation as a standalone policy.

Not all insurance policies cover all possible incidents or events. Because of this, you might need a policy that specifically targets certain risks you face. For example, in addition to one’s standard homeowner’s insurance policy, they might get flood insurance or earthquake insurance, depending on where they live. The same goes for companies with general liability insurance.

General business liability insurance may not cover all risks companies face, such as workplace accidents and the damages incurred by injured workers. You can get Workers’ Compensation as a standalone policy in addition to your general business liability insurance to protect your company on all fronts.

Depending on your business’s location, you might be required to get a standalone Workers’ Compensation policy. Most states require Workers’ Compensation insurance based on a company’s size or industry. Especially high-risk companies, like construction companies, are often mandated to have Workers’ Compensation.

How to Get Standalone a Workers’ Compensation Insurance Policy

Not all general liability insurance companies offer Workers’ Compensation insurance, especially if the company seeking coverage is at an elevated risk. In these instances, employers might need to find standalone Workers’ Compensation policies to ensure that the risks their employees face are covered by insurance.

Review Your Current Insurance

Before getting a standalone Workers’ Compensation policy, refer to your company’s existing insurance policies to see what is covered. If your company’s general liability insurance does not include coverage for Workers’ Compensation, you may need a separate policy. Even if getting standalone Workers’ Compensation insurance is not required by law based on where you live, getting it can protect you in case of an employee injury.

Know Your Risks

Companies often have to seek standalone Workers’ Compensation policies because their current general liability insurance carriers do not want to provide them with further coverage because of their risks. So, our Workers’ Compensation insurance brokers will help assess your company’s various risk factors to prepare you for getting a standalone workplace liability insurance policy. Common company risk factors include having a large payroll, being a relatively new business, or operating in a high-risk industry for workplace accidents.

Provide Your Company Information

When looking for a standalone Workers’ Compensation policy, you will have to provide a prospective carrier with information about your company. This will include the size of your company, its industry, and its history of occupational injuries and illnesses. Typically, companies have a reason for getting standalone insurance, such as being prone to specific kinds of accidents, like falls.

Get Quotes

Companies that need standalone Workers’ Compensation are often considered risky by insurance carriers. Because of this, it is important to get several quotes and review them carefully when seeking a standalone policy. You do not want to pay more than you have to for additional insurance. Our brokers can source quotes quickly, within as little as a day, so that you can review them accordingly. We will refer to your company’s classification code and rating, typically set by the National Council on Compensation Insurance, so you can more easily evaluate quoted standalone Workers’ Compensation policy rates.

Do You Need to Get a Standalone Workers’ Compensation Policy?

If you already have general liability insurance for your business, do you really need a standalone Workers’ Compensation policy? Will the additional premiums be worth it? Most likely.

Companies can become very vulnerable when general business liability insurance policies do not cover Workers’ Compensation. Having general business liability insurance will not cut it if your state requires businesses of your size and industry to have Workers’ Compensation, specifically. If you do not get a standalone policy when required, you might face financial penalties for non-compliance by your state’s agency for enforcement of Workers’ Compensation coverage.

Furthermore, Workers’ Compensation offers crucial protection for employers. Without a standalone Workers’ Compensation policy, your company will likely become vulnerable to employee lawsuits. In general, employees cannot sue their employers if they have the necessary Workers’ Compensation. In most states, this rule goes out the window when employers do not have Workers’ Compensation. The money and time required to handle work injury claims can be avoided if you get a standalone Workers’ Compensation policy.

Getting a standalone Workers’ Compensation policy to address specific risks your company faces in the workplace does not mean you will be forced to pay more than you are comfortable with. You can still make efforts to reduce the frequency of workplace accidents, such as requiring training and enforcing a drug-free workplace program. This can lower the premiums you pay for your standalone Workers’ Compensation policy.

Call Our Workers’ Comp Brokers Now

Call (866) 340-9120 to speak with the Florida Workers’ Compensation insurance brokers at NPN Brokers today.