Recently I wrote an article about First Aid and how it works on a workers comp policy. In it, I described what First Aid is and why it matters to you, as an employer with a workers comp policy. Today I want to update you on a law that went into effect on 1/1/2017 that clarifies how First Aid claims are to be treated.
Farming is a big industry in California. According to my research (a quick Google search) it is the second biggest industry in California. With California itself being the 6th biggest economy in the world, there are a lot of farms in California. And that means there are a lot of people employed in the farming industry. One thing that is not always clear, however, is which workers comp insurance company to partner with to cover those people employed in the farming industry. What is the best workers comp insurance company for farms in California?
This article should have probably been written a few months ago. I actually did partially write about it here. In that article I didn’t mention that AB 2883 was the law behind the change, nor did I mention all the types of business entities affected by it. So that’s what I’ll do here. Here’s the simplified summarized version of law AB 2883 that went into effect on January 1st, 2017.
One of the most well known insurance concepts is the deductible. They’re easy to understand. Insurance pays above and beyond the deductible. Anything that would be otherwise insured that falls below the deductible is our responsibility to pay. The deductible is the most common way to (attempt to) save money on an insurance policy. Policy seems too expensive? Raise the deductible! Yes, deductibles seem pretty easy to understand, but did you know that there are a couple types of deductibles, and one of them can be devastating in the event of a claim, and a total surprise? I’ll explain….
This past May I wrote a blog on the conditions that allow officers and owners to be excluded on their workers comp policy. It was a great article, very informative (yes, I’m congratulating myself), but it needs to be updated. Why? Because the rules have changed as of January 1, 2017 in regards to corporations. Change is one constant thing you can expect in the insurance world. So here’s the updated version, updating the change in rules for corporations.
Workers Compensation laws in California are pretty straight forward: if you have any employees – even just one – you have to have workers comp. But sometimes things get confusing. Yes, it’s true. Here’s an example: what if you pay your neighbor’s son to feed your dog while you’re on vacation? Aah, see? It’s not always clear cut, now is it?
You know those guys that hang around Home Depot looking to get hired for the day? Let’s call them day laborers. As an employer, you may have seen day laborers and thought about using them. Running the numbers, it might make sense for your business because day laborers are available and inexpensive. I want to let you know, however, that using day laborers will most likely get you cancelled or non-renewed with your workers comp insurer.
Experience Modifications are powerful. They can help or handicap your business in a big way. I’ve seen businesses go out of business because of a surprise massive Experience Modification. I’ve seen a workers comp premium go from $20,000 to $75,000 all because of an Experience Modification increase.
What is your payroll going to be for the next 12 months? Does this question create a sense of anxiety emanating from deep within your soul? As your insurance agent/therapist, I would like to ask if you could take a moment to identify the root cause of this fear and trembling. Go ahead and lay down. My couch is right by my desk.