Workmen Compensation Policy
The workmen's compensation insurance policy is the primary method by which an employer can demonstrate the ability to meet the obligations imposed by the worker's compensation statutes. It is compensation payable under a scheme set out in the Workmen's Compensation Act of India, monitored by the Ministry of Labour. The policy covers statutory liability of an employer for death or bodily injuries caused to employees due to accidents arising out of and during the course of employment.
What does Workmen Compensation Policy cover?
The Workmen Compensation covers:
- Bodily injury caused by accident during the course and scope of employment.
- Bodily injury caused by disease or aggravated by the conditions of the employment.
- Death or temporary disablement
- Permanent total or partial disablement
- Legal costs and expenses incurred with the company's consent
Add-on Covers in Workmen Compensation Policy
Contractor employees by charging additional premium can get coverage for:
- Tariff rate on total contract amount, if the contract is for labour only
- If the contract is for labour and materials, labour value will be decided as per merits, subject to a minimum of 75% of the contract amount.
Exclusions in Workmen Compensation Policy
The common exclusions of most of the workmen compensation insurance policies are:
- Non-fatal injuries
- The initial 3 days of disablement and the total disablement is lesser than 28 days.
- All the injuries that do not cause partial disablement for more than 3 days.
- Injuries caused due to war, nuclear, or riot.
- Injuries caused to the internal removal of the security device or due to the carelessness of the security device.
- Accident or injury caused under the influence of alcohol or drug.
- Liabilities faced for the employees of contractors.
- All the liabilities assumed in an agreement.
- The employees who are not considered as workmen as per ‘Workmen’s Compensation Act’.
- All the diseases that are specified in part ‘C’ of ‘Workmen’s Compensation Act’.
- Any changes made in the statute of the provisions after the commencement of the policy.
How to Find Best Workmen Compensation Policy Online
There are various insurance companies that offer ‘Workmen Compensation Insurance' plans online and one may get confused in selecting the most suitable policy. Moreover, the workmen compensation insurance also needs jurisdiction that comes in the business area of the prospect.
However, if one takes the help of an insurance web aggregator for comparing different workmen compensation insurance plans, he/she can get the best and most suitable option. A reliable web aggregator asks certain questions to the prospect and shows the result based on these them. In this way, one can find the best workmen compensation plan for his/her business.
Claim Process for Workmen Compensation Insurance Policy
The steps to file the claim for workmen compensation insurance are:
- The employer must immediately be informed about the death or disablement of the employee.
- If the accident happens in the manufacturing plant, then intimate immediately to the factory inspector.
- The employer must gather all the information and documents as per the requirements of the insurance provider.
- Then the employer should deposit all these documents to the insurance provider.
- The insurer denies or approves the claim and informs the employee about the same.
We at PolicyBazaar can help you find the best policies to protect your business. We understand workers' compensation requirements in the jurisdiction(s) applicable to your business. Our experienced agents will counsel you in ways to implement safety controls that can help lower your insurance premiums. Get new quotes, start comparing and buy now!