Jump ahead to learn:
- Is CA Workers’ Compensation insurance required?
- How does California Workers’ Comp work?
- How much is Workers’ Compensation in CA?
- Who is exempt from Workers’ Compensation insurance California?
- How NEXT helps California small business owners
Is CA Workers’ Compensation insurance required?
Workers’ compensation insurance is required by the labor code of California law for all businesses with employees. In addition, many clients require a certificate of insurance (COI) for workers’ comp and other coverage before they’ll work with you.
Even in cases when workers’ comp isn’t a requirement for a California small business, almost every business can benefit from the financial protection of workers’ compensation insurance.
How does California Workers’ Comp work?
Workers’ comp can help your business pay for expenses related to work-related injuries for your employees or yourself if you have owner’s coverage with your policy.
Typically, workers’ compensation benefits in California include coverage for:
- Medical treatment and medical care for job injuries.
- Weekly wages from lost income benefits.
- Retraining if employees can no longer do their job.
- Permanent disability benefits and temporary disability benefits.
- Death benefits and survivor benefits.
Workers’ compensation does not cover incidents that are not job-related or other situations that include things like when the injured person violates company policies, commits misconduct or uses drugs or alcohol.
Workers’ Comp death benefits in CA
If an employee dies after a covered accident or injury at work, workers’ compensation survivor’s benefits in California usually provide financial support to surviving members of the deceased’s immediate dependents.
Workers’ comp death benefits in the state may also cover some portion of burial expenses.
Learn more about workers’ compensation coverage.
Filing a Workers’ Comp claim in California
California employers should file a workers’ compensation claim on their employee’s behalf immediately after a workplace injury.
To submit a claim, contact your insurance company and fill out a claim form.
Learn how to file a Workers’ Comp claim with NEXT.
How much is Workers’ Compensation in CA?
Workers’ compensation costs vary across industries. Some factors that influence what you’ll pay include:
- Your number of employees and the type of work they do.
- Your total payroll.
- Your insurance claims history.
- The locations where you do business.
The best way to determine the insurance rate for your business is to get a free instant quote from NEXT.
Who is exempt from Workers’ Compensation insurance in California?
The State of California offers very few exemptions from workers’ compensation insurance; few employers can self-insure. However, there are a few exemption requests that can be made for out-of-state employers with employees working in the state.
Visit the Department of Consumer Affairs Contractors State License Board on CA.gov to start an exemption application.
How NEXT helps California small business owners
NEXT makes it fast, easy and affordable to protect your small business — and you can do it all online.
We’ll ask a few questions about your business and give you a quote. You can select your coverage options and buy your policy in about 10 minutes. Your certificate of insurance will be available immediately, and you can access your policy 24/7 via web or mobile app.
If you have questions, our licensed, U.S.-based insurance professionals are available to help.
