Workers' Comp insurance

Workers' compensation is vital for businesses in California, here's why:

 1. It’s Legally Required

California law mandates that every employer with at least one employee must carry workers’ compensation insurance — even for part-time employees. Failure to do so can result in:

• Fines up to $100,000
  
  

• Criminal charges (misdemeanor)
  
  

• Stop-work orders issued by the state
  
  

 2. It Protects the Business from Lawsuits

If an employee gets injured on the job, workers’ comp provides medical treatment, wage replacement, and other benefits — and in return, employees usually can’t sue the employer for the injury. This limits costly legal battles.

 3. It Covers Medical and Disability Costs

Workplace injuries can be expensive. Workers’ comp covers:

• Medical expenses
  
  

• Temporary or permanent disability payments
  
  

• Vocational rehabilitation
  
  

• Death benefits to surviving dependents (in fatal cases)
  
  

4. It Reduces Financial Risk

Without coverage, a single workplace injury could bankrupt a small business. Workers’ comp insurance spreads the risk, protecting your cash flow and business continuity.

5. It's Key to Employee Trust and Retention

Employees feel safer knowing they’re covered if something goes wrong. This builds trust, increases morale, and makes your business more attractive to potential hires.

Bottom Line:

In California, workers’ comp isn’t optional — it’s a legal and financial safeguard. It protects your business, your employees, and your future.