Because we're in the insurance industry, our world can feel like it's full of jargon. While we try to avoid it at Cake, sometimes it sounds like we're speaking a different language. So time to time, we like to play the role of insurance interpreter and clarify a few of the more common—and confusing—workers' compensation terms and history. Today, we're going back to basics and the origins of workers' compensation insurance.
What's in a Name?
What we do at Cake goes by many names: Workmans comp, workmen's comp, work comp, workers' comp, or just comp. But where did these names come from?
During the industrial revolution, economic and industrial activities flourished, but the number of work injuries also grew.
Prior to the introduction of workers' comp, workers who were injured on the job had no recourse other than to sue their employers, an expensive and time-consuming process. And it didn't always pay off.
Back then, the workforce was almost entirely male, which is probably why we still hear the term workmans comp. Ironically, when it came to the name workmans comp it wasn't a term actually used in the industry. But as workers started referring to it as workmans comp, the name stuck.
How Workman's Comp or Workers' Compensation Operates Today
Over the years, things have changed for the better—for both workers and employees.
Today, workers' compensation provides injured workers with prompt, fair and guaranteed benefits. Employers, in turn, get protected from potentially catastrophic loss, as workers' comp provides set benefits for the injuries suffered by the employee.
Companies in every industry from construction to accounting rely on workers' comp insurance to protect not only the company itself but also employees. And here in Colorado, workers' comp insurance is something organizations must have as required by law.
We know it gets confusing so consider this a hub for you to learn the basics surrounding workmans compensation and how it can directly apply to your business.
Understanding Colorado Workers' Compensation Insurance
In Colorado, there are special rules and regulations around workers' compensation insurance. So, it's really important that you understand the specifics so you can ensure your business gets covered.
These posts can help get you started.
- What business owners need to know about Colorado workers' comp insurance. — This post is going to give you all of the basics that every small business owner in Colorado should know about workmans compensation insurance.
- How employee changes impact your Colorado workers' comp policy. — Hiring, firing and switching employee job roles all have an impact on your workers' comp premiums, this post helps guide you through those changes.
- 5 Colorado workers' comp requirements every employer needs to know. —As a small business owner, it's critical you understand the legal requirements your company must follow when it comes to workers' comp in Colorado.
Your Biggest Workers' Compensation Questions Answered
Once you start to get a handle on exactly how workers' comp works you'll probably have a bunch of questions. Don't worry, it's really common.
That's why we've gathered some of the most common questions small business owners have around workman's comp and answer them here:
- Why do I need workers' comp insurance? Lots of small business owners ask themselves this question. But the answer is pretty straightforward, workers' comp insurance protects you and your employees—and it's required in Colorado.
- What is a certificate of insurance and why do I need one? A certificate of insurance is an easy way to prove your business has workers' compensation insurance coverage. Learn more about it in this post.
- Employee or independent contractor? The answer to this question can have a big impact on your workmans compensation insurance, so this post covers the main differences that you need to know.
- Hiring an independent contractor? See what you need to know. It's very common for businesses to work with independent contractors, but depending on the situation, this might impact your workers' compensation insurance. Get the details here.
Creating a Safe and Healthy Workplace
You might find it surprising to learn that lots of accidents and injuries—the kind that gets impacted by workers' comp—happen in standard office jobs.
As a small business owner, one of the best things you can do to reduce the risk of illness and injury on the job is to focus on making your workspace a place that promotes health and safety.
- How to reduce the most common workplace injuries. Cuts, trips, sprains and strains these are all very common injuries that happen every day in workplaces all across the country. Learn how to keep these injuries to a minimum.
- How to foster workplace wellness in your office. Studies have shown that healthy employees are happier and more productive, and the best part? They also have far fewer health insurance claims, a positive impact on your bottom line.
- Create an office safety checklist in 7 easy steps. It doesn't take much effort on your end, but spending time focusing on where you can make your workspace safer can really pay off over both the short and long term.
Making Your Business More Productive
There's no question that small business owners have to wear a lot of hats when running a business. You've got to manage HR, finance, sales and marketing plus everything else that comes with being an effective manager.
Learn how to improve your productivity and make your processes more efficient with these posts.
- Deep work: How to become more productive, fulfilled and focused. Learning how to get super focused on the task at hand can have huge payoffs when it comes to getting things done. Here's how to do it.
- 5 small business tools that work as hard as you do. Technology means there are tons of tools at your disposal to help you manage and run your business. These are some of our favorites.
- Crush your to-do list with these apps. A big part of really being productive is all about getting things done. Picking the right apps are half the battle and we've chosen a few we think you'll love.
Regardless of what you call it, workers' compensation is here to protect you and your employees.
These posts should help you start learning more about workers' compensation insurance. And when you need a quote, you can get one online in just 5 minutes with Cake.
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