Occupational Accident is an employer's insurance policy that is designed to be an alternative to Workers' Compensation insurance. At Workplace Benefits Solutions we believe that an Occupational Accident policy works well in providing a substantial amount of coverage to both the employer and employee.

The primary reason businesses choose to cover their employees with an Occupational Accident policy is savings in premium cost. This is especially true in markets that the profit margins are minimal. The cost to cover employees is significantly less in comparison to a Workers Comp policy. There are additional benefits that empower the employer to gain control of costs that are associated with on-the-job accident, disability and medical costs.

Having these additional abilities curb the possibility of fraudulent claims that the employer would have no choice but to pay under Workers Comp.

Advantages of an Occupational Accident policy over Workers Comp:

  1. When an on-the-job accident occurs, the employer has the authority to have the employee seen by a physician of the employers choosing prior to the claim being paid.
  2. In the case of an accident that the business considers suspicious, a drug and alcohol test can be required prior to the claim being paid.
  3. The policy covers accidental death and dismemberment (AD&D). The accidental death benefit is 10 times annual salary.
  4. Mandatory arbitration is required prior to an employer liability proceedings.
  5. Occupational Accident is overseen by the Federal Government, which means that any legal action must be heard in Federal Courts, which are usually pro-business in comparison to State Courts.

Why Occupational Accident rates stay more competitive:

  1. The employer has a choice in their per occurrence deductible. Deductibles range from $250 to $25,000. Typically most employees choose a $500 or $1000 deductible.
  2. The single occurrence benefit maximum can be set at either $500,000 or $1,000,000. The single occurrence max is the sum of all medical, disability and death benefit expenses incurred during the treatment of the accident.
  3. The employer can pick the benefit period, ranging from 1 to 3 years. A 2-year benefit is usually desired.
  4. Rates are based on payroll employer's payroll, just like Workers Comp.
  5. Rate spikes do not occur with Occupational Accident as with Workers Comp. The insurer is more concerned with the frequency of the accident rather than if there was an accident.