In Mississippi, workers’ compensation insurance generally costs around $1.27 for every $100 of covered payroll. That means, for example, if your company’s total annual payroll is $100,000, you will pay $1,270 for workers’ compensation insurance, or around $105 a month. These rates can differ, though, depending on a variety of factors.
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What’s Covered
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Mississippi’s Workers’ Compensation Death Benefits
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Mississippi’s Workers’ Compensation Laws
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How to Buy Workers’ Compensation Insurance
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How to Get the Most Savings
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FAQs
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Why Use EZ
One of the biggest factors in determining your rates for workers’ compensation insurance is your employees’ risk, or the likelihood of a workplace injury occurring at your business. To assist insurers in determining risk exposure, and to get the best rates for your business, you can use a variety of workers’ compensation class codes. This is important because it costs more to insure certain employees. For example, office employees may have lower workers’ compensation costs than those who work outside of your office and face more risks.
What’s Covered
If an employee sustains an injury on the job or becomes ill due to workplace conditions, workers’ compensation in Mississippi will help them with their medical bills. The average weekly wage of the employee determines the workers’ compensation benefits. The amount depends on the type of claim.
In general, workers’ compensation in Mississippi covers:
- Accidents and injuries – If your employee needs medical attention, workers’ compensation will cover any medical expenses from a workplace injury.
- Illness – If an employee becomes sick from exposure to allergens or other hazardous materials at work, they can also receive workers’ comp benefits to help pay for treatment.
- Repetitive injury – It’s not just accidents that are covered: treatment for repetitive injuries, like carpal tunnel syndrome, are also covered by workers’ compensation.
- Ongoing care – If your employee still has medical needs as a direct result of their accident or illness, even after they return to work, they can get benefits for ongoing care. This includes additional doctor’s appointments or additional surgeries.
In addition, if their accident or illness results in permanent or temporary disability, your employee will receive weekly or lump sum payments. If they have a temporary disability, their injury prevents your employee from performing their job. But they can return to work as normal once they recover. If a doctor diagnoses them with an injury from which they will not fully recover, they have a permanent disability.
These categories fall into the following classifications:
- Temporary total disability (TTD) – These payments will be made if your employee is not able to work at all while recuperating.
- Temporary partial disability (TPD) – TPD payments will be made if your employee can still work, but only with certain limitations, such as needing to perform lighter duties or work fewer hours. If your company does not provide work that meets these requirements, the employee may still be eligible for these payments.
- Permanent total disability (PTD) – Employees who are unable to work due to an accident or illness, even after they have recovered as much as they are likely to, will be eligible for PTD payments.
- Permanent partial disability (PPD) – Employees who have permanent difficulties but can work with them will be eligible for PPD.
Mississippi’s Workers’ Compensation Death Benefits
If an employee passes away as a result of a work injury or illness, their surviving spouse and certain dependents may qualify for death benefits.
In Mississippi, death benefits will be paid at least every 14 days to the employee’s dependents by your workers’ compensation insurer or assigned risk administrator. These benefits may continue for up to 450 weeks following an employee’s death on the job.
Death benefits are calculated as a percentage of a deceased worker’s average weekly wage, subject to a statutory weekly maximum. In addition, you or your insurance carrier must pay up to $5,000 in funeral expenses and a $1,000 lump sum to the surviving spouse.
Mississippi’s Workers’ Compensation Laws
If your Mississippi business employs five or more people, you’ll need workers’ compensation insurance. But there are a few exceptions to Mississippi’s workers’ compensation requirements. The following types of employees are not required to be covered by workers’ compensation insurance in your state:
- Domestic workers
- Farm workers
- Employees of non-profit organizations
- Religious or cultural organization employees
- Independent contractors
- Employees of the federal government
- Certain maritime or transportation workers who are covered by federal workers’ compensation laws
The Mississippi Workers’ Compensation Act established no-fault coverage for workers’ comp claims. That means that regardless of who was at fault for the injury, workers will not have to pay for medical services or lose wages as a result of their injury.
How to Buy Workers’ Compensation Insurance
Most businesses in Mississippi buy private workers’ compensation insurance. EZ’s agents can help you compare insurers and policies to find the best coverage for you.
If you do not qualify for private insurance, you can purchase a workers’ comp policy from Mississippi’s assigned risk residual market. The National Council on Compensation Insurance (NCCI) manages this last-resort insurance carrier for high-risk employers in the state.
You can also self-insure your workers’ compensation claims. This means you will pay for your own workers’ compensation medical and rehabilitation costs rather than having them covered by an insurance policy. You will need to apply to do this and meet certain requirements.
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How to Get the Most Savings
The majority of the cost of workers’ compensation comes from factors beyond your control. However, there are still ways to save. Implementing a safety program is a great way to reduce workplace injuries and claims, which will lower your premiums. So regardless of your industry, it is important to have safety and standard operating procedures in place. Employees who have safety training are less vulnerable to injuries, lowering your workers’ compensation costs.
It is also a good idea to regularly review your claims history. Evaluating your claims history on a regular basis can help you identify and correct patterns. You might discover that certain aspects of your business operations are frequently causing claims. This allows you to adjust the operation to make it safer. You can also save money by keeping an eye on potentially dangerous operations.
Correctly classifying your employees is one of the most effective ways to save money. When you apply for your workers’ compensation policy, you will classify each of your employees depending on their job’s risk. And this risk classification influences the cost of your workers’ compensation. For example, you might pay less to insure an office worker than you would a manual laborer. It’s also important to correctly classify your employees because you may receive a fine if you fail to do so.
Begin a free online application today to compare workers’ compensation insurance quotes for your small business from leading U.S. insurers. EZ’s agents specialize in insurance for a wide range of small businesses. Additionally, working with our agents can save you hundreds of dollars a year on coverage.
Mississippi Workers’ Compensation FAQs
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Are you required to have workers’ compensation insurance in Mississippi?
Yes, almost every business with 5 or more employees needs to have workers’ compensation insurance in your state. If you fail to carry workers’ compensation insurance as required by state law, you may face penalties such as a $1,000 fine, a year in jail, or both. You may also be forced to pay worker’s compensation benefits for an injured employee out of your own pocket.
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How do workers’ compensation settlements work in Mississippi?
A workers’ compensation settlement is an agreement between all parties to resolve a workers’ compensation claim. Both the employee and the employer benefit from this arrangement. A workers’ compensation settlement is a complete and final resolution.
Employees do not have to accept settlements. But if the employee has reached maximum medical recovery or will not require further treatment, they can agree to accept a lump sum in exchange for the claim being closed.
The Mississippi Workers’ Compensation Commission must approve all settlements. You, the employer, must retain a Mississippi attorney to prepare the necessary paperwork and present the settlement to the commission.
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What is the statute of limitations in Mississippi?
As the employer, you must keep detailed and accurate records of any injuries at your workplace. If an employee comes to you with a work-related injury or illness, you have to write up a report, and send it to your insurance company and the Mississippi Workers’ Compensation Commission.
All injured employees must notify their employer within 30 days of their injury. Your employee will no longer be able to receive benefits if they do not file a claim for benefits within two years of the date of injury or illness.
Why Use EZ
We do everything in our power to make shopping for workers’ compensation insurance as easy and stress-free as possible. And we give each of our customers our undivided attention. As soon as you fill out our form, you will receive instant, free quotes from your dedicated agent. Who will give you personalized service and will work to understand your needs. We want to ensure that you get the best coverage at the best price. Our services are completely free so check out your quotes today!
If you still have questions, feel free to give us a call at 877-670-3538. You will speak to a local insurance agent who can answer all of your questions. And help you find the workers’ compensation policy that works best for your business.
