When someone gets hurt on the job, they might face significant or even life-altering injuries. They might even have to stop working (temporarily or permanently) as a result. Workers compensation insurance helps employers provide for employees who face these scenarios. The coverage will help an injured employee receive supplementary income during their recovery, a time when many people cannot receive a regular paycheck.

Under Indiana law, most businesses with one or more employees must buy workers compensation insurance. Qualifying employees include:

• Full-Time & part-time employees
• Employees working outside Indiana
• Company executives
• Employees who are minors
• Students receiving federally funded job training

There are a few exceptions to the rule, however. Workers compensation law does not apply to:

• Sole proprietors or Members of a partnership
• Railroad employees (under the Federal Employee Liability Act)
• Those who have access to federal workers compensation
• Independent real estate agents
• Certain independent contractors
• Certain construction contractors
• Volunteers
• Scholarship athletes & youth sports coaches

Workers compensation is a benefit paid primarily to qualifying employees. However, it protects the business, too, because it reduces the busines' liability in the face of employee injuries. Most employees surrender the right to sue the business for most injury costs once they apply for workers compensation. Therefore, coverage acts as a vessel that will allow the business to settle the costs of the employee's injury without legal action.

An employee might qualify to file a workers compensation claim for numerous injuries, including:

• Injuries sustained throughout the workplace.
• Repetitive motion injuries sustained over many years.
• Illnesses or injuries from short- or long-term exposure to toxic substances.
• Injuries sustained at remote worksites.
• Injuries sustained in commercial vehicle accidents.

To successfully file for workers compensation, employees will have to prove that their injury or illness occurred as a result of their work. They will work with their employer, the workers compensation insurer and the Indiana Workers Compensation Board to determine their eligibility.

Most workers compensation premiums are based around the employer's payroll expenses. On average, Indiana policies cost about $0.75 per $100 of payroll.

Workers compensation policies pay medical benefits and disability benefits. The compensation an employee receives might include:

• Coverage for all necessary medical bills (hospitalizations, doctor bills, prescription costs, etc.)
• Temporary disability benefits: Coverage applies while someone recovers for their injury. They can receive up to two-thirds of their regular paycheck, with a $780/week maximum, for a maximum of 500 weeks.
• Permanent disability benefits: Following a total, permanent disability, the employee can receive two-thirds of their regular paycheck, with a $780/week maximum for a maximum of 500 weeks.
• Temporary partial disability benefits: If someone returns to work on lighter duties, then they might be able to receive two-thirds of the difference in their average weekly wages. Coverage has the same $780/week maximum payout and benefits will last a maximum of 300 weeks.
• Permanent partial disability benefits: You might qualify for permanent partial disability benefits if you receive a permanent disability but can still return to work. Insurers will calculate your settlement based on an impairment rating assigned by your doctor.