What Workers Comp Doesn’t Fully Cover
You need expense dollars that will cover the high costs of a workplace violence event.
Are you Compliant?
There’s a new labor law impacting business owners in California – SB 553?
Basic Details of the Law
The California Legislature passed Senate Bill (SB) 553 on September 12, 2023. This bill is designed to protect workers from workplace violence. SB 553 requires employers to develop their own comprehensive workplace violence prevention plans as part of their Cal/OSHA Injury & Illness Prevention Plans.
Note: Not addressing this new law could result in large CalOSHA fines and lawsuits. For example, failure to comply with California’s SB 553 law requirements may subject employers to penalties of up to $25,000 for serious violations, and up to $158,727 for “willful” violations.
Source: Cal/OSHA Increases Civil Penalty Amounts for 2024
Why do you need to pay attention to this new law, S.B. 553?
A. Workplace violence is hitting all-time highs and is a serious concern for both employers and workers. Check out the latest data. According to:
U.S. Bureau of Labor Statistics:
There were 97 work-related deaths from acts of violence in California in 2022.
15% of employees have been harassed at their workplace.
Workplace violence incidents breakdown: 74% shootings, 7% stabbings, 4% personal weapons and 15% by other creative means.
OSHA:
32% of workers reported some type of workplace violence.
California Department of Industrial Relations
Workplace violence in California is 1.5 times over the national average for workplace homicides. (CA Rate: 1.3 homicides per 100,000 employees)
Your current workers compensation insurance policy, does it fully-cover workplace violence events?
Occupational violence is typically covered under most workers compensation insurance policies, providing coverage for employees that suffer physical injuries and/or mental distress.
When qualifying physical injuries and/or mental stress do occur after a workplace violence incident, there are five basic types of workers compensation insurance benefits provided by your California workers compensation insurance policy that become available to your injured employee(s).
1. Medical Care
2. Disability Benefits – Temporary
3. Disability Benefits – Permanent
4. Job Displacement Benefits – Supplemental
5. Death Benefits
* Refer to your California Workers Compensation Insurance Policy for specific coverages, terms, limitations and exclusions.
Yes, your state-mandated workers compensation insurance policy typically will respond to physical injuries. While that’s good, it’s not near enough to cover the realities of these events. Major gaps exist in underlying policies and business owners need help with education and risk management when an event happens.
The following expenses from a workplace violence incident are not covered by workers compensation insurance.
1. Travel Expenses
2. Expense to Cover Rewards
3. Business Interruption
4. Extra-Expenses (i.e. Temporary Location)
5. Expenses for Public Relations Consultant
6. Expenses for Crisis Management Consultants
7. Expenses for Security Guard Services
8. Bio-Hazard Clean-up Expenses
This is why you need a Workplace Violence Coverage Policy from Select Marketing Insurance Services, LLC – CA License #0E86536.
Please Note: Workplace Violence Coverage is underwritten by Berkley Program Specialists. The policy provides up to $100,000 for reimbursement of specific, pre-approved expenses that arose as a result of a workplace violence incident. The precise coverage afforded by any insurer are subject to the actual terms and conditions of the policies as issued. Reimbursement for a Crisis Management Firm can only be granted once a workplace violence claim is opened and expenses are preapproved. Expense reimbursement sub-limits, if any, apply per expense coverage category.
The Problem:
Your business could be out of pocket for tens of thousands of dollars as a result of a workplace violence incident and its associated expenses.
The Solution:
Up to $100,000 Workplace Violence Expense Reimbursement Coverage distributed by Select Marketing Insurance Services, LLC and underwritten by Berkley Program Specialists.
And pricing for this coverage is totally affordable.
Only $99 annually for most business types.
$149 annually if you operate a retail business (i.e. Retail Stores/Wholesale Stores) and $248 per year for medical offices. (i.e. Physicians/Dentists). Some exclusions apply. The coverage can be used to reimburse one or any combination of the coverages in the policy up to $100,000, subject to the time or money limits in the policy. The precise coverage afforded by any insurer is subject to the actual terms and conditions of the policies as issued.
Interested in protecting your bottom line in the event of a workplace violence incident?
Get a quote and policy online asap here.
Plus...here’s what you’ll get when you have a workplace violence insurance policy.
1. Experienced Claims Managers – Specialists in Workplace Violence Coverage – Report a claim 7 days a week by calling 866-957-3138 or emailing anytime: claims045@berkley-ps.com
2. Risk Management – We offer a wide variety of workplace violence awareness training tools.
3. Crisis Management – Crisis management and public relations consulting for up to 90-days after the date of the violent event and mental health counseling up to 90-days after the date of the violent event. Plus you’ll get access to various crisis management and disaster response training aids.
4. Expense Reimbursement Insurance Coverage – 10 different coverages are included.