Can Accidents at Work Cause A Financial Strain

Accidents at work although avoidable can happen anytime. Despite having safety procedures on board, employees can still sustain accidents due to human error and unforeseen circumstances. Having said that, it’s true that injuries arising from work-related accidents may mean a financial strain both on the injured employee and the employer. 
If you’re the aggrieved party, you may be entitled to get economic recovery from those who are at fault but if you’re the employer, you may be obliged to pay all financial costs arising from the accident. 
To get an idea as to what awaits you when you’re involved in workplace accidents, here’s a guide that will tell you why accidents at work can be very financially draining for all involved parties. 
Economic Recovery for Injured Employees
If you’ve severely injured as a result of a workplace accident, you may have the right to recover compensation from the party responsible for your injury. With all the potential costs of getting injured at work, you may end up having financial problems afterwards. 
Not to mention the medical costs, hospital bills, lost wages and most importantly, the loss of your capacity to work that you may experience after the accident. Furthermore, these factors can indeed affect your financial health, hence the recovery of compensation can be the right thing to do. 
personal injury
Depending on the extent of your injuries, the kind of economic damages that you can receive vary from one state to the other. Here’s what you need to know when you’ve suffered an accident at work. 
1. Worker’s Compensation Benefit Claims. 
Essentially, worker’s compensation can be considered a substitute for a lawsuit against your employer. These are designed to make sure that employees like you who are injured on the job premises receive monetary awards without having the need to sue your employer in court. 
That’s why worker’s compensation can be a good way of compensating you when you’re seriously hurt because of a work-related accident. 
  • In exchange of not filing a lawsuit against your employer, you’re allowed by law to receive worker’s compensation benefits regardless of who are responsible for your injuries. 
  • Before, employees who are hurt at work have no choice but to litigate their claims against their employers. Now, most employees are readily entitled to worker’s compensation, while the employers are also protected against the possibility of facing a lawsuit. 
  • If you think you have a claim to file for your injuries, the first thing you should do is report the accident to your employer in writing and keep a copy of the report for your personal reference.
  • Then, make sure you complete the claim form as soon as possible and submit the same to your employer. Once they receive your claim form, it’s now their responsibility to right away notify its worker’s compensation insurer and arrange medical assistance for you.  
  • However, you also have to check whether the injuries you’ve sustained are covered by worker’s compensation. That way, you’ll know if it’s worth your time and effort going to court to recover economic damages against the offending party. 
2. Legal Compensation. 
When we say legal compensation, these are the kinds of damages available to a plaintiff in personal injury cases. Remember that even if you file a worker’s compensation benefit claim, you may still bring a lawsuit in court if your injury was caused by someone other than your employer. 
You just must prove the liability of the offending party for you to win the case and later on receive the compensation you rightfully deserve.
  • Some of the damages you may receive in a litigation against those who are at fault include medical expenses, lost wages, loss earning capacity, loss of enjoyment of life, mental anguish, and pain and suffering, etc. 
  • While you’re going through the process of litigation, it’s best to keep in mind that an experienced lawyer can explain all legal options available to you. They can also work with you to ensure that you get the compensation to which you’re entitled to under the law of your state. 
Financial Effects on the Employers
In most cases, employers must make sure that their employees take proper safety precautions while performing their job on the premises. This is because dealing with an injured employee can cause a financial strain on the part of the employer. If you’re a business owner, take note that workplace accidents can present several costs including:
  • Healthcare costs, 
  • Productivity costs, 
  • Repairs, 
  • Medical and travel expenses 
  • Other additional supervision
Paying all financial costs brought about the accident can shake the financial stability of your business.
As you continue shelling out a huge amount of money to get things right again, you may end up missing out on making money for your company. This may also means a decrease on your sales, thereby further affecting your profit margin in the end. 
Apart from these monetary concerns, employers dealing with workplace accidents can experience a decreased business reputation. This is because people will start looking at your business differently. 
They may think you’re not capable enough to ensure your employees’ safety. Remember that when reputation is affected, this can mean a potential loss of customers and most importantly business profits. 
Need Legal Help?
When things get tough after having experienced a work-related accident, don’t forget to take a deep breath and plan out the next steps to do. With the possible financial strains you may be dealing with as a result of workplace accidents, it’s best to seek legal assistance from a qualified lawyer like the ones at Hershey Law LA
Having the expertise in handling injury cases, they can provide you with an in-depth understanding about the subject matter. While injuries arising from accidents can indeed affect you financially, keep in mind that you can always have a lawyer to speak with when it comes to the legal and financial consequences of workplace accidents.

Denny Jones

Hello, I'm Denny Jones, the voice and mind behind this personal finance blog. With a passion for helping others achieve financial independence, I started this blog to share my insights, experiences, and strategies in managing money. Whether you're just starting out on your financial journey or looking for advanced tips to optimize your wealth, my goal is to provide practical and actionable advice that anyone can follow.

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