If I Terminate an Employee That Has a Compensible Workers' Compensation Claim, What Happens to the Workers' Claim?
Workers' compensation is a statutory benefit. Once an insurance company accepts a claim as compensible and the workers' compensation was in place at the time of the employee's claim, the administration of benefits adjustment of compensation issues is unchanged. However, as an alternative to termination, we can assist you in developing a modified duty return to work program that could significantly reduce your Workers' Compensation costs.
If I Have a Commercial Property Policy That Has Replacement Cost Coverage on Building and Contents, Why Does the Insurance Company Apply Depreciation to My Claim?
The reason for this is spelled out in the insurance policy contract. Most policies require that the insured must actually replace or repair the damage to recover the depreciation holdback. Thus the Actual Cash Value (replacement cost less depreciation) establishes the initial payment on a claim.
Can an Employee's Wages be Split into Separate Classes on a Worker's Compensation Audit?
In many cases, as long as an employee's payroll has been properly set up on the insured records to show the time and the payroll allocated between the classes, you can split the wages. An exception to this rule is if the main category already includes the secondary class, or if a standard exception class such as clerical, outside sales or draftspersons is the secondary class;in that case you cannot split an employees payroll.
Are Bonus and Vacation Payments Charged For on a Worker's Compensation Audit?
In most cases both bonus and vacation payments are included on a workers' compensation audit. In some states, unanticipated bonus payments are excluded, but this is the exception to the rule.
