It is a primary responsibility of employers to ensure that their employees are safe and secure while they are employed with them. That is why legislation providing workman comp insurance policy was introduced. However, did you know that workers’ compensation policies and employee safety are interconnected? Understanding this connection can help employers create safer workplaces.
How Labour Insurance Policy and Workplace Safety Are Connected?
Implementing safety measures may seem tedious and costly for employers at first. However, if they view it as a long-term investment, then it is considered much more profitable than any deal. By implementing safety measures at the workplace, employers can reduce the number of workers’ compensation claims, which ultimately helps them reduce the premium cost of the labour insurance policy.
As labour insurance providers consider a smaller number of claims by any organisation as a safe sign, they incentivise them through lower premiums. On the other hand, if any organisation has frequent incidents of workplace accidents and claims, it is considered a risk client and is charged higher premiums. That is why it is crucial to invest in a solid workplace safety program.
How to Create a Workplace Safety Program?
Here are some ways through which employers and organisations can make their workplace safer to work.
Identifying Risks and Hazards
Every organisation has some degree of risk and hazards, which may vary by industry and the nature of work performed within the organisation; however, risk is present. Employers need to review their workplace layout and identify all the spots of risk and the degree of hazards present.
Moreover, employers should also engage with employees and take their views into account regarding their working experience at the workplace. Ultimately, it is the employees who are exposed to workplace risks.
Draft Safety Rules and Measures
After the risks are identified at the workplace, the organisation’s management needs to create a safety plan. This plan should be created after considering the degree of hazard. Once the plan is drafted, it should be reviewed by senior management and the organisation’s safety committee.
Educate the Employees
Creating a workplace safety plan would be ineffective if employees are not aware of and informed about it. Thus, it is the responsibility of management to inform employees about all the safety measures that they need to follow to ensure their safety while working.
Displaying safety posters, conducting safety training, and holding mock drills are some of the ways organisations can ensure that employees are aware of the necessary safety steps to take.
Reporting and Investigating Workplace Incidents
Another way to follow safety procedures is always to report and thoroughly investigate every workplace accident. Reporting the accident helps in the labour insurance policy claim procedure, and the investigation maintains transparency of the incident for all the parties involved.
How Workman Comp Insurance Policy Helps Businesses?
Sometimes, despite the use of numerous preventive measures and safety tools, workplace accidents still occur. In such an event, it is the labour insurance policy that comes to the rescue of both the employer and employee.
Workers’ compensation insurance policy from trusted insurers like TATA AIG provides financial support to employees who suffer workplace injuries, covering the cost of their medical bills. Employers are safeguarded by providing a labour insurance policy, which fulfils their legal liability towards employee safety.
The policy provides coverage for workplace injuries, occupational illnesses resulting from working in a hazardous environment, temporary or permanent disability or demise due to workplace injuries.
Benefits of Workman Comp Insurance Policy
- Financial compensation to employees injured due to workplace injuries
- Temporary or permanent disablement compensation for the loss of wages for the employee
- Employer protection from legal penalties in case an employee lawsuit is filed
- Provides a death benefit to the employee’s dependent or nominee in the event of the employee’s demise due to workplace injury
- Provides rehabilitation support to the employees who are out of work due to temporary or permanent workplace disability
Summing Up
It may not be possible to eliminate every workplace risk, but it is always wise to implement all possible safety measures. It includes purchasing a workmen’ compensation insurance policy for employees. Both safety measures and policy in play can create a better workplace environment.
