All businesses must carry insurance coverage in case an employee is injured or sickened on the job. Larger companies often struggle to meet this requirement while keeping costs under control. Fortunately, insurance companies can help. There are options for New Jersey large account Workers’ Compensation plans that provide the needed coverage with flexible financial arrangements.
One option is a retrospective rating plan in which the final cost of the plan is finalized after it expires. Corporations with predictable losses benefit from lower costs under this plan, as the final premium is determined by the actual losses incurred during the coverage period.
Guaranteed cost plans help businesses looking for a more traditional insurance plan. The premium for these plans is set at the start of the policy and adjusts upon expiration. Insurers determine cost by multiplying the predetermined rate by the client’s payroll.
Another option for New Jersey large account Workers’ Compensation is the large-deductible plan. These plans are a form of self-insurance in which the insured establishes a payment account to cover losses, and the insurance covers the balance over the deductible. These plans require less paperwork than traditional self-insurance; however, the insured must offer collateral for the difference between predicted and actual losses.
The appropriateness of these options depends on the size and coverage requirements of the insured. An experienced insurer can help your business choose the Workers’ Compensation plan to meet its needs.