Worker's Compensation

FLOOR ED

Stacy Eickhoff Stacy Eickhoff, Sr. Vice President, has specialized in providing insurance programs for the Floor Covering Industry for over 25 years. Risk Strategies is a top national broker providing comprehensive risk management advisory services.

Worker's Compensation

We can probably all agree that Workers’ Compensation is not any business owner's favorite topic. There always seem to be more questions than answers, including whether I need it, who it covers, and why is it so expensive?

In fact, no form of insurance causes so much misunderstanding and confusion as this important piece of coverage that affects such a large slice of your revenues. Whether you already pay large premiums or are just waiting for the premium hammer to fall, most floor covering dealers and contractors know that the stakes are high.

History of Workers’ Comp

Workers' Compensation (WC) was designed over seventy years ago to ensure that workers injured on the job receive reimbursement for medical expenses and lost income. In return, businesses are shielded from what otherwise would be unlimited liability for this, plus pain, suffering, and punitive damages. Therefore, workers Compensation is considered a sole remedy.

Workers’ Comp / Ins and Outs

While we strive to limit the cost of WC, we should not forget the substantial benefits we receive as business owners.

A few words of caution are in order, though. First, Workers' Compensation is a state-by-state affair. General principles may apply to the majority of jurisdictions, but each state's particular statutes and regulations ultimately govern. Indeed, your WC insurance policy says little other than to promise that your carrier will follow the terms of your state's statutes.

Second, laws and regulations never predict every situation. When disputes or ambiguities arise, administrative hearings must resolve the differing interpretations. Results are inherently unpredictable and not always consistent. By staying well within the bounds of established practice, you can minimize — though never eliminate — the chance of finding yourself at the mercy of the quasi-judicial system.

Bottom Line

States require almost all businesses to procure a Workers' Compensation policy. In many cases, having even one employee is enough to trigger the statutes. Generally, the fact that your installers may be independent contractors does not excuse you. If your business does not comply, you face not only fines but you lose the protections that workers compensation as a sole remedy affords. In short, if you are caught without WC, the system will do its best to make your business life miserable — even if you shut your doors and try to start fresh.

Correct classification of employees is critical, and misclassifying employees as independent contractors can create surprises at audit, generating large premiums that you may be unable to pay. Therefore, it is imperative that you know your local rules and work with a broker that specializes in your industry.

Risk Strategies and Stacy Eickhoff have worked with the floor covering industry for over 25 years. We work with industry professionals of all shapes and sizes nationwide, specializing in the full range of insurance and risk management solutions for this industry: property & casualty, alternative risk solutions, employee benefits, IC risk programs, key person risk management, safety and accident prevention, executive and family risk, and financial services.

The contents of this article are for general informational purposes only, and Risk Strategies Company makes no representation or warranty of any kind, express or implied, regarding the accuracy or completeness of any information contained herein. Any recommendations contained herein are intended to provide insight based on currently available information for consideration and should be vetted against applicable legal and business needs before application to a specific client. ■ Correct classification of employees is critical, and misclassifying employees as independent contractors can create surprises at audit, generating large premiums that you may be unable to pay.

States require almost all businesses to procure a Workers' Compensation policy. In many cases, having even one employee is enough to trigger the statutes.

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FAQS

Q: How long will FCIF help my family?

A: Grants can be up to six months,dependent on your need. You may reapply every six months if you still meet qualifications.

Q: Is there an income limit?

A: No, there is not an income limit,but you must be in financial need.

Q: Does the applicant have to work in the flooring industry?

A: No, but a household family member must have worked 5+ years in the flooring industry.

WE HELP FAMILIES THROUGH HARD DAYS

The Floor Covering Industry Foundation is a 501(c)3 non-profit that provides financial assistance grants to industry workers who are battling life-altering illness, catastrophic injuries, and severe disabilities.

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GRANTS CAN HELP WITH:

rent/mortgage, transportation, utilities, doctor visits, medical care, house modifications, medical supplies, prescriptions, etc.

THIS IS MY STORY

“Without FCIF, I would not have been able to make it. The grant helped my family with household bills, plus gas to and from my doctor appointments.”

MEET TERESA AND JAMES

“This grant saved my home, lowered my stress level, and gave me peace of mind. If it were not for the grant, I might have been homeless.”

MEET MELISSA

“There are very few industries that have a non-profit organization dedicated to giving back to workers who have been critically injured on the job or have suffered some other hardship.”