An appealing benefits package can help your company attract and retain excellent employees. However, if you or your staff members make a mistake administering the benefits program, it can leave your company open to lawsuits. An employee benefits liability policy offers protection against those types of accidents.
Description of Risks
Most companies have multiple plans available to employees, such as:
- Workers compensation
- Life insurance
- Medical and dental
- Maternity leave
These plans can be complex and governed by strict laws and regulations. Benefits administrators may make errors when performing certain duties, including:
- Discussing coverage
- Record keeping
Peace of Mind
While some errors may be easy to fix and not cause any harm if caught in time, others can be serious. For example, a benefits administrator might lose an important document and fail to enroll a staff member in the health plan. If that employee becomes hospitalized and accumulates medical bills, the company may be liable. The right liability policy covers events such as that, giving you peace of mind regarding your benefits program.
Offering a comprehensive benefits package is a great way to show appreciation for your employees. However, it is important to protect yourself against lawsuits resulting from oversights or accidents. The liability policy can ensure you and your company are safe.