Workers compensation New Jersey
How does workers compensation work in NJ?
The following employing entities must have Workers' Compensation insurance in effect:
- Corporations: All corporations operating in New Jersey must maintain Workers' Compensation insurance or be approved for self-insurance so long as any one or more individuals, including corporate officers, perform services for the corporation for prior, current, or anticipated financial consideration *.
- Partnerships/LLC's: All partnerships and limited liability companies (LLC's) operating in New Jersey must maintain Workers' Compensation insurance or be approved for self-insurance so long as any one or more individuals, excluding partners or members of the LLC, perform services for the partnership or LLC, for prior, current, or anticipated financial consideration*.
- Sole Proprietorship: All sole proprietorships operating in New Jersey must maintain Workers' Compensation insurance or be approved for self-insurance so long as any one or more individuals, excluding the principal owner, performs services for the business for prior, current or anticipated financial consideration*.
Financial consideration means any remuneration for services and includes cash or other remuneration in lieu of cash such as products, services, shares of or options to buy corporate stock, meals or lodging, etc.
How much is workers compensation in New Jersey?
Cost could vary greatly depending on a lot of factors such as:
- The type of Industry your business is involved in
- Your claims history
- How many claims have been made against your business
- The amount of payroll that you pay
- The type of work you're asking your employees to do
Please feel free to contact us for a free consultation
Get A QuoteConsequences for failure to provide Workers comp in NJ?
The consequences for failure to provide Workers’ Compensation coverage can be very significant, even without a work-related injury. Specifically, the law provides that failing to insure is a disorderly persons offense and, if determined to be willful, a crime of the fourth degree. Moreover, penalties for such failure can be assessed up to $5,000 for the first ten days and up to $5,000 for each additional ten-day period of failure to insure thereafter. In the case of a corporation, liability for failure to insure can extend to the corporate officers individually. Penalties assessed for failure to insure are not dischargeable in bankruptcy.
Where a work-related injury or death has occurred, the employer, including individual corporate officers, partners, or members of an LLC, is directly liable for medical expenses, temporary disability, and permanent disability or dependency benefits. In addition to awards for medical expenses and other benefits, New Jersey law also provides for civil penalties against the employer and its officers where failure to insure is determined. Awards and penalties arising from these claims can become liens against the uninsured employer and its officers, which are generally enforceable in the New Jersey Superior Court against any assets belonging to the uninsured employer and its officers.
Who is Exempted from carrying workers compensation in NJ?
There are some exemptions to the workers comp law in New Jersey. Such as any unpaid positions such as unpaid interns, unpaid volunteers, independent contractors or even sole Proprietors with no employees. Be aware Unpaid means not any remuneration of any kind for services and includes cash or other remuneration in lieu of cash such as products, services, shares of or options to buy corporate stock, meals or lodging, etc.
what is workers compensation benefits?
Workers Compensation Insurance provides payment to help workers who are injured or become ill as a direct result of their job By paying missed wages, Medical expenses, Even disability and death benefits.
Workers compensation or workers comp can help replace some of your employees wages If they become injured on the job for example, If one of your Carpenters cut their hand while at work at one of the customers houses and cannot work for several weeks because of the cut. Workers compensation would pay some of the employees wages while they recove
Workers Compensation Insurance provides payment to help workers who are injured or become ill as a direct result of their job By paying missed wages, Medical expenses, Even disability and death benefits.
Missed Wages
Workers compensation or workers comp can help replace some of your employees wages If they become injured on the job for example, If one of your Carpenters cut their hand while at work at one of the customers houses and cannot work for several weeks because of the cut. Workers compensation would pay some of the employees wages while they recover.
Long Term Care
Unfortunately not all injuries can be treated quickly. Neck back and spinal injuries may require long-term care like physical therapy workers compensation Insurance will help in these instances also.
Illness
Sometimes working conditions can expose employees to chemicals or agents they can cause your employee to get sick YouTube an incident or condition Workers Compensation Insurance will help pay the recovery cost or long-term care of the employee
Disability
Some injuries can be severe enough to permanently disable an employee from working ever again in their lifetime. Workers compensation Insurance can help pay some of their lost wages and health care for their lifetime.
Funeral Costs
In the unfortunate event an employee loses their life on the job, Workers Compensation Insurance can help pay some of their lost wages, Help with funeral costs, and even provide death benefits to the employee's beneficiaries
Get A QuoteWhere to buy NJ. workers compensation Insurance ?
The best place to obtain workers compensation in New Jersey is with the Reisen Agency. The Reisen agency was founded in 1902 and has over 120 years of experience helping businesses in New Jersey, making them one of the oldest and most reliable insurance Companies in the area
Please feel free to contact us for a free consultation
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