Being a business without workers’ compensation insurance in California is a serious matter. If an employee is injured during the course of business duties and the business is not insured, it does not mean that the business is absolved of its responsibilities. The Uninsured Employers Benefits Trust Fund was established to ensure that employees are still compensated for their medical expenses even if the business did not comply with the law. Using the power vested in this entity, it can pursue many avenues to ensure that the injured employee is compensated, including placing a lien on the business, imposing a stop order so that the business can no longer legally and delivering fines, penalties and jail time.
If you should decide that you do not want to carry workers’ compensation insurance on your employees and one of them becomes injured or sick while on the job, you will be responsible for paying 100% of the cost of their bills. Without obtaining adequate workers’ compensation insurance, an injured or sickened employee can sue your company to obtain the funds necessary to cover their medical bills. In addition, there is the potential that your business will be fined, penalized and even more for not meeting its obligations to its employees.
The California state labor board, the Division of Labor Standards Enforcement, is responsible for ensuring that businesses comply with a range of labor standards, including having an adequate amount of workers’ compensation insurance. If the Division determine that the business was lacking in this regard, in addition to fines and penalties, it is possible that you will serve a jail sentence in the county jail. A stop order is also likely to be issued that prohibits the business from using the labor of those employees who are not covered. It is a misdemeanor to not comply with such an order.
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With the passing of Halloween, the majority of Americans will begin to plan their festivities and travels for the upcoming holiday season. While many look forward to the joyous tune in the winter atmosphere, few realize the need to be extra careful when traveling in terms of insurance coverage. A few days away from the house can translate into fires, burglaries, and even damage from the weather. The awesome trip through the woods to Grandmother’s house can turn into a nightmare without proper auto insurance, and of course, the winter makes you more likely to become ill during your holiday travels. Before you plan out what you’ll be doing for Christmas and Thanksgiving, take the time to evaluate your insurance policies.
Auto Insurance
Although state laws require that all drivers maintain liability insurance for at-fault accidents with other drivers, you need to be aware that uninsured drivers will be on the road with you. If you have an accident, you may be stuck with a repair bill or injury that is not covered. Before taking the care across country for the holidays, consider purchasing underinsured or uninsured motorist protection. Uninsured motorist protections cover you if the other driver’s financial responsibility falter or don’t exist.
Homeowner’s Insurance
What goes together better than cookies and hot cocoa? Burglars and empty homes. When you travel this holiday season, remember that your home could be the next target of a break-in. While it’s beneficial to purchase a home security system or service, you need to have an insurance policy to cover your belongings as well as your home. In addition, the risk for fires increases during the winter, so check to see if your current homeowner’s policy covers house fires.
Health Insurance
Sledding all day is a fun and exciting thing to do while visiting friends or relatives away from your home, but what happens if you, your children, or your spouse get sick? Check to see if your health insurance policy will cover visits to emergency centers, hospitals, or other clinics in whatever state or city you will be traveling to. Furthermore, make sure you are up-to-date on your immunizations prior to holiday travel.
If you’re planning a trip this holiday season, you need to take some special considerations in regards to your insurance policies. Make sure your home, vehicle, and the health of yourself and your family will be covered if something happens during your holiday travel.
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According to the National Retail Insight Center report, this year’s Halloween spending will average about $77 per person. This means we are likely to see an increase in trick-or-treaters at our homes. For many homeowners, this is not generally a problem but there are some common things that occur every Halloween that you should be aware of.
The dreaded dog bite
If you have a family dog, keeping him in a closed room can help prevent this calamity. Dogs are naturally territorial and when there are strangers pouring into your yard and ringing your doorbell, chances are your dog will get overly excited and could potentially harm a child. Before Halloween, check with your insurance agent about your coverage for this type of injury.
Children fall all the time
Children can be clumsy and when they are walking into unfamiliar yards, they can be even more clumsy. Combine this natural tendency with garments that are not always well-fitting and you have a potential recipe for disaster. Chances are if a child slips and falls on your property whether it is a tumble off the porch or tripping over cast-off toys or garden tools, you will be responsible for any medical bills the parent incurs.
Some surprising facts about homeowners insurance
Most people are unaware of some of the items their homeowners insurance covers. For example, Halloween is a night of pranks and if your home is egged, a headstone you own is toppled or your home is vandalized because you are not at home, these items may be covered. Before you pay for cleanups, repair a headstone or grave marker or repair home vandalism, check with your insurance company to see if any of these items are covered.
Halloween is meant to be a fun evening for adults and children alike. Sometimes things happen that are beyond your control. Do not assume you have all the insurance coverage you need, check with your insurance representative before it is too late.
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As a homeowner you have a responsibility to those people who visit your home. Not only do you have to ensure that invited guests are safe, but, when Halloween comes around, you need to be aware of the potential dangers to young trick-or-treaters and the hazards outside your home. In addition, you also need to ensure your family stays safe.
Hidden dangers in decorations
We all love to make sure our home puts on a show for are trick-or-treaters. This often means decorations that you probably have not used since last year. Before you start decorating your home keep some things in mind:
- Open flame hazards – it is fun for children to see a jack-o-lantern all lit up on the porch of a home they are visiting. Often, we use candles in these to provide a spooky welcome to children. Instead of using traditional candles, consider the battery-operated type to avoid potential burns to visiting children.
- Electrical hazards – strings of orange lights may look great outside or inside your home but if you have not used these lights since last year you may want to carefully inspect all cords. Worn cords should be thrown away to avoid a fire hazard.
- The little things – you may not think about dog toys, children’s toys or garden tools laying around your yard. However, these all can pose a risk to visitors who are unfamiliar with your home. Keep everyone save by carefully checking all walkways and surrounding areas for items that could cause falls.
Adults and children alike can enjoy the fun and excitement of Halloween if proper safety precautions are taken. Taking the proper precautions such as making sure your home is well lit, making sure your family pets are indoors where they cannot be hurt or frightened by trick-or-treaters and making sure you have prepared for your visitors will help make sure everyone has a safe and happy experience.
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Nearly all business owners carry some type of insurance. However, if you are carrying a standard business liability policy, it may be worth your time to review your policy and determine if you have employment practices liability insurance (EPLI) coverage. Not all liability coverage includes this important feature.
What is EPLI?
EPLI coverage includes wrongful termination protection for employers. This allows you to file a claim to cover the cost of legal defense anytime you are sued for wrongful termination. This insurance would also pay claims if you should lose your case.
What is wrongful termination?
Wrongful termination claims may be filed by an employee who feels they were fired from their job unjustly. Some of the common reasons why an employee may claim wrongful termination include:
- Age discrimination – employees over the age of 40 may file an age discrimination claim even if they were fired for other reasons.
- Other discrimination – claims may be filed if an employee believes they were terminated because of their gender, sexual orientation or a disability.
- Whistleblower termination – California law makes it illegal to terminate an employee for reporting certain actions including workplace safety, public interest or other activities that may be considered illegal.
- Written contract violations – while California is known to have an “at will” employer/employee agreement, employees who are fired and have written contracts may still be fired under certain circumstances. This may not prevent them from filing a wrongful termination suit.
Minimizing your risk of wrongful termination claims
Keep in mind, the better you document your reasons for terminating an employee, the less likely you are to face wrongful termination claims. Some ways to avoid this include:
- Documentation of wrongdoing – anytime you reprimand an employee it should be documented in their employment file.
- Witnesses can be helpful – if you need to have a conference with an employee about their conduct on the job, it may be helpful to have another manager or supervisor sit in on the conference.
- Consider consulting an attorney – if you need to terminate an employee, it may be helpful to discuss your strategy with an employment attorney first.
Oftentimes, wrongful termination claims are simply retaliatory but having EPLI coverage can make good financial sense for those unexpected claims.
Sources:http://www.business.ca.gov/StartaBusiness/AdministeringEmployees/EqualEmploymentOpportunityLaws/AtWillEmployment.aspx
http://www.calchamber.com/california-employment-law/pages/termination.aspx
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Sexual harassment suits may be filed against a business for any number of reasons. In fact, some employers are surprised to learn that sexual harassment charges have been filed against them because of suggestive posters, suggestive items on display in the workplace or because of lewd jokes told in the workplace. However, under California law, all of these are considered a violation of workplace rules.
Preventing sexual harassment in the workplace
Employers in California who have five or more employees are under an obligation per the laws in the state to provide a workplace where employees do not feel they are subjected to sexual harassment. It is important to note that there are two specific categories of harassment which are “quid pro quo” and “hostile work environment”. As an employer, you should be aware of what each of these terms means, specifically:
- Quid pro quo – when an employee feels they were denied opportunities for advancement or increase in pay because they refused a sexual advance on the job. In some cases, if an employee reports a sexual advance and were subsequently dismissed from their job this may also be considered quid pro quo.
- Hostile work environment – when other employees, regular visitors or others are telling offensive jokes regularly, an employee may feel the environment is hostile. Keep in mind this could mean racially insensitive jokes, jokes of a sexual nature or other behaviors an employee finds offensive.
According to the US Equal Employment Opportunity Commission, during 2011 there were more than 11,000 sexual harassment cases filed. More than 15% of these were filed by male employees. No employer, regardless of size is guaranteed to never have a suit filed against them. It is important to note, that of the more than 11,000 suits filed, settlements exceeded $52 million for suits that were found to have merit. It is imperative to verify that you have the right coverage to protect your business in the event you are sued for sexual harassment.
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