How does workers’ compensation work in California?
Workers’ compensation insurance in California is essentially a trade-off between employees and their employer. Employees who suffer an on-the-job injury or a work-related illness receive c`ertain benefits to assist them during their recovery. In return, they generally cannot sue their employer over the injury or illness.
Workers’ comp insurance in California may include the following benefits:
- Medical care Any service reasonably necessary to treat an illness or injury may be covered, including doctor visits, hospital stays, physical therapy, lab tests, x-rays, medicines, medical equipment and travel costs. There are, however, limits on chiropractic care, physical therapy and occupational therapy.
- Temporary disability Employees who are unable to work because of their injury or illness may be eligible to receive up to two thirds of their regular pay every two weeks. Minimum and maximum payments are set by the state.
- Permanent disability An injury that causes a permanent loss of physical or mental function measurable by a doctor may entitle employees to long-term wage replacement. The specific payment amount depends on the employee’s age and occupation and the doctor’s medical reports. As with temporary disability, the state determines the minimum and maximum payments.
- Supplemental job displacement Employees who have a permanent disability and are not offered regular, modified or alternative work by their employer may be eligible for a nontransferable voucher worth up to $6,000. It’s designed to cover the cost of any resources required to find a new job, i.e., licenses, certifications, retraining or skill enhancements at an approved school, etc.
- Death benefits Payments may be made every two weeks to the spouse, children or other dependents of any employee who dies from a job-related injury or illness. The rate varies based on the number of dependents. California workers’ comp also provides a burial allowance.