Workers’ compensation benefits employees who were injured on the job. However, not all employers carry workers’ compensation insurance. The reasons for this vary: maybe it is a small family business, maybe the business is not hazardous and the employer assumes injuries will be rare. The sad fact is that even the lowest-risk jobs can still lead to workplace injuries, and if you are uninsured when a workers’ compensation claim comes through, you and your company could be in hot water.
California Labor Code Section 3700 dictates that all employers with one or more employees must offer workers’ compensation to those employees in the event that they become injured while on the job. Although it is not a legal requirement that employers purchase workers’ compensation insurance through insurance carriers, they still must offer workers’ compensation benefits if a workplace injury occurs and a claim is filed. Employers may opt to self-insure, but by law, they cannot be uninsured (i.e., offer no workers’ compensation to injured employees).
Employers who lack workers’ compensation insurance could face both fines and jail time, as failure to offer workers’ compensation benefits is considered a criminal offense under state law. Jail terms of up to one year and fines in excess of $100,000 dollars are both potential penalties that an uninsured employer may face if a worker files a claim for benefits and the employer is empty-handed.
Our attorneys can offer legal advice to uninsured employers and can negotiate on their behalf in the courtroom. We will work to get penalties reduced and can assist you with exploring your options for getting insured, whether it means going through a carrier or otherwise. If you are facing legal issues due to being an uninsured employer, you want to have a skilled workers’ compensation defense attorney in your corner.
If you do not currently carry workers’ compensation insurance and want to discuss your options with an uninsured employers defense lawyer in Long Beach, the attorneys at Sacks & Zolonz, LLP can help you get your business on track. Our knowledge and experience in workers’ compensation defense law makes us the clear choice for employers who need assistance with getting their businesses in line with labor laws. We don’t just practice workers’ compensation defense—we wrote the book on it. Contact us today for a case evaluation.