Workmans Comp Insurance in Louisiana: What You Need To Know
If you run a business in Louisiana, you must provide comprehensive workers’ insurance for all your employees. In fact, you must carry workers’ compensation insurance even if you have one employee. However, if you are seeking this insurance for the first time, there’s a lot you may still not be familiar with.
So, here is all you need to know about Louisiana workers’ compensation:
The Legal Requirements & Exemptions
As a business owner in Louisiana state, you are legally required to have workers’ compensation insurance or be approved by the state to self-insure. Only state law can exempt you from this.
Now, all your employees are covered from day one, whether they are part-time, full-time, seasonal, or underage. Even so, there are exceptions, including:
- Some real estate salespersons
- Domestic workers
- Majority of volunteer workers
- Public officials
You often would not require workers’ compensation coverage if you are an independent contractor or sole proprietor with no employees. Still, some subcontractors and independent contractors may be considered employees, meaning they need worker’s compensation insurance based on their work type.
Failure to comply with worker compensation legal requirements in Louisiana attracts penalties. You can be fined up to $250 for each employee for the first violation plus an additional $500 for each employee for every other violation.
If you provide false worker compensation information, your business can be halted entirely until the specified rules are met. You can also be charged with criminal violations. That said, some violations are not committed on purpose. In such cases, get the necessary help because the penalties are the same regardless.
Injuries Covered by Workers’ Comp in Louisiana
To identify what types of injuries are covered by workmans comp insurance in Louisiana, you should first learn about what is not. Here are injuries that do not qualify for a claim:
- Intentional self-harm
- Harm resulting from drug abuse, alcohol use, or brawls
Essentially, you qualify for a claim if your injuries fall within the “course and scope” of employment. Employees can also claim workers’ compensation insurance if they sustain long-term occupational injuries, e.g., back strain, illness from exposure to harmful substances, etc.
In Louisiana, workers’ compensation settlements can be paid in lump sum to cover medical expenses, lost wages, and disability. Once a settlement is agreed upon, injured employees should not make any new claims.
However, sick or injured workers must file a workers’ comp claim within a year from the date of the incident or one year from when their condition was diagnosed. The claim should come no longer than two years after the date of the injury.
How to Obtain Workers’ Compensation Insurance Louisiana
As an employer, you can obtain workers’ compensation insurance in these ways:
- Through a state-authorized private insurer.
- Applying to the Office of Workers’ Compensation Assistant Secretary to become an approved Self-Insured employer.
- Becoming a member of an approved Group Self-Insurance Fund.
Get Your Workmans Comp Insurance in Louisiana & Avoid Unwarranted Costs
As a Louisiana business owner, you must provide workers’ comp insurance. This way, you can safeguard your employees in case of a workplace-related injury while avoiding legal and financial troubles. For the best experience, get coverage that works for you.