A Workers’ Compensation policy pays medical expenses and a portion of lost wages after an employee’s job-related injury or illness, in accordance with Virginia law.
Employer’s liability, as part of workers’ compensation insurance, protects the insured’s business against suits from the employee’s spouse, family members or third parties for work-related accidents or injuries.
Why It’s Important
Workers’ compensation insurance is required in Virginia if the business employs more than two employees (owner included).
Without a policy, the business is still responsible for the injured employee’s medical bills and lost wages. If a policy should have been in place but was not, then the employer is also subject to fines and/or misdemeanor charges.