Insurance for Digital Nomads: Is Workers Comp Necessary

Thanks to technology, and more and more companies warming up to the idea of remote work, digital nomads are becoming a common sight in holiday destinations all around the world. It is now possible to find work in most industries and choose where you want to do it, whether at home in your pajamas or on the beach hundreds of miles from home.

That said, the shift towards remote work has come with concerns that both employees and employers seek answers to. For instance, what is the employer’s responsibility to the employee? More importantly, is taking workers’ compensation insurance for your remote workers really necessary for a business owner?

The truth is, worker’s comp insurance for digital nomads is not only necessary, but may be quite beneficial for your business for several reasons.

Let’s take a look a some of them:

It Can Save Your Huge Costs in Case of Injury or Illness

If you are a small business with mostly remote workers, it is still a great decision to get workers’ comp insurance to avoid huge unexpected costs in case of injury.

Even if your employees work from home, they may still get injuries and medical complications resulting from work. For example, an employee may fall and get injured in their home office during working hours, or they could develop back injuries from straining as a result of working on the computer. In that case, workers’ compensation insurance can cover the medical costs.

So, insurance coverage can help mitigate the financial risk your business will face if one or more workers get a work-related injury.

It Will Help You Retain Your Employees

Employee satisfaction is a key factor in their retention. Generally, people are more willing to stick with a company that cares for its employees as opposed to looking for opportunities elsewhere. With good, skilled workers becoming more difficult for companies to find, you definitely don’t want to lose your best staff, remote or otherwise.

Getting workers’ compensation coverage is a great way to show your remote staff that you actually value them outside of what they provide you. And that builds loyalty, which is what you want to keep your most valued workers. This benefit can, in many cases, outweigh better-paying opportunities.

It Will Ensure You Are Complying with the Law

More importantly, getting insurance for your employees can help you keep within the law. Workers’ comp coverage is a requirement for businesses with one or more employees in almost every state in the country. And, this actually includes remote workers.

Now, the specifics when it comes to workers’ compensation for remote employees are a little gray. But, if your employee sustains injury out of or in the course of fulfilling their employment obligations, you may be liable to pay compensation. So, if you want to avoid brushing with the law and possibly expensive litigation, it is safer to get employee coverage.

Get Insurance for Digital Nomads for Better Business 

As a business owner, your remote employees are just as important to your company as your in-office workers. So, mitigate your financial and legal risks while keeping your employees happy by getting workers’ compensation coverage. You’ll find that the benefits are far greater than the cost.