Insurance required in most states that provides benefits to employees who are injured or become ill as a result of their job. It covers medical expenses, rehabilitation costs, and a portion of lost wages. In exchange, employees typically give up the right to sue their employer for workplace injuries.
Related Terms
Business Owners Policy
A bundled insurance package designed for small and mid-sized businesses that combines general liability, commercial property, and business interruption coverage into a single, cost-effective policy. A BOP is typically cheaper than buying each coverage separately.
General Liability Insurance
A broad form of business insurance that covers claims of bodily injury, property damage, and personal injury arising from your business operations or premises. It protects against lawsuits from customers, vendors, or other third parties and is often required by contracts and leases.
Disability Insurance
Insurance that replaces a portion of your income if you are unable to work due to illness or injury. Short-term disability covers weeks to months, while long-term disability can provide benefits for years or until retirement age. It is one of the most important yet often overlooked forms of insurance.