Caution for Business Owners Excluded on Work Comp!, Will Your Health Insurance Cover Your On The Job Injury?

 

Many business owners take advantage of the work comp rules that allow themselves to be excluded for coverage. This is seen as a cost saving measure, as owners compensation is not charged in the premium calculation. Most business owners who have excluded themselves from work comp, depend on their health insurance policies to cover their injuries sustained while on the job. 

Recently, changes to some health policies are no longer covering business owners for on the job injuries. The policy wording is making it clear that injuries to owners at work are to be covered under work comp not health insurance. Business owners could be surprised to find that their medical bills are denied by the health insurance carrier, because the injuries are work related. 

Lack of coordination between work comp and health insurance, as it relates to owners coverage, is a growing risk. Business owners can no longer exclude themselves from work comp without checking with the health insurer first. Consult your insurance professionals before signing the work comp exclusion forms. What you may save on work comp premium could be a paltry sum, compared to out of pocket medical costs.

Until next time be careful out there and know your risk.

Posted by: G. Kevin Nemith , President/Agency Leader, CNC/Pfister Insurance,  A member of the Hilb Group.