Workers Compensation National News & Articles

< Back to Previous Page

Workers Compensation Insurance Program

WHAT IS WORKERS COMPENSATION? (WCA)

Workers Compensation is an insurance program that provides medical and disability benefits for work-related injuries and diseases. If injured on the job, an employee’s medical treatment costs will be paid by the policy. If disabled following an on the job injury, the employee will also receive weekly income benefits through the policy until able to return to work. Workers’ Compensation protects both employees and employers. Each covered employee has a right to benefits if injured on the job. In return, the worker forfeits the right to sue the employer for job-related injuries. All employers must obtain coverage by purchasing an insurance policy through the Government Insurance Fund of the Virgin Islands.

I AM A VIRGIN ISLANDS EMPLOYER: WHO SAYS I HAVE TO INSURE MY EMPLOYEES?

In order to compensate injured workers, or their families in case of death, and relieve them from the burdensome, expensive legal remedies, the Virgin Islands Legislature passed the Workers’ Compensation Act, Title 24, Section 250 et. seq., of the Virgin Islands Code. This statue compels all employers in the Virgin Islands to secure Workmen Compensation Insurance.

WHO IS REQUIRED TO COMPLY WITH THE VIRGIN ISLANDS WORKERS COMPENSATION LAW?

All employers who employ one or more employees affected by this statute, what ever their wages may be, including public corporations, any person or body of persons whether contractors or sub-contractors.

ARE INDIVIDUAL OWNERS OR PARTNERS CONSIDERED EMPLOYEES UNDER THIS LAW?

Individual owners or partners are not considered as employees. However, if they work full-time in the business, they may elect to be covered under the Workers Compensation Insurance Policy issued to their company.

IS A GENERAL CONTRACTOR LIABLE FOR THE PAYMENT OF COMPENSATION TO EMPLOYEES OF ALL SUB-CONTRACTORS?

Yes, contractors shall be liable for reimbursement to the Government Insurance Fund for benefits given under this chapter to all employees of their uninsured subcontractors during such time as the employee is actually doing work for the benefit of the contractor.

MAY AN EMPLOYER BE HELD LIABLE FOR BEING UNINSURED?

If an employer has no Workers’ Compensation coverage and is sued for damages by an employee, the employer may have to pay substantially more in damages including medical bills, lost earnings into the future, and pain and suffering. This is in addition to penalties imposed by law. If the injured worker elects to recover under Workers Compensation, the employer shall be liable for reimbursement to the Government Insurance Fund for ALL expenditures incurred plus a 30% penalty.

Learn more about your legal rights, contact a Worker's Compensation Lawyer near you now.