Running a business is exciting, but it also comes with responsibilities. One crucial responsibility is ensuring you have proper health insurance coverage. But for business owners, there can be a hidden gap in coverage – one you might not even realize exists.

This gap arises from the interplay between workers’ compensation and health insurance. Workers’ compensation is a type of insurance that provides medical benefits and lost wages to employees who are injured or become ill on the job. However, some business owners, particularly those with small businesses, choose to exclude themselves from workers’ compensation to save on costs.

Here’s the catch: Most health insurance policies specifically exclude coverage for work-related injuries and illnesses. This creates a significant gap in coverage for business owners who aren’t covered by workers’ compensation.

Imagine this: You throw out your back lifting a heavy box in your store. Without workers’ compensation and without coverage under your health insurance, you could be facing a mountain of medical bills on top of lost income while you recover.

So, what can you do to avoid this scenario? Here are a few steps to take:

  • Check Your Policy: First, take a close look at your current health insurance policy. See if there’s any mention of coverage for work-related injuries or illnesses.
  • Talk to Your Agent: Discuss this potential gap with your insurance agent. They can explore options like adding an endorsement to your existing policy that specifically covers business-related health issues.
  • Consider adding yourself: Many business owners forgo workers’ compensation coverage for themselves to save on costs. While this approach might seem recommended by your agent due to initial lower premiums, it creates a significant coverage gap.  Workers’ compensation for owners is often surprisingly affordable. Including yourself in the plan can provide valuable financial protection in case of a work-related injury.

It’s important to remember that every situation is unique. Consulting with a qualified insurance professional is the best way to assess your specific needs and identify the most suitable solution to address this potential coverage gap.

Don’t wait for an accident or illness to discover you have a gap in your coverage. Take charge of your health security and ensure you’re protected – both as a business owner and an individual.