Financial Consequences of Occupational Accident At Your Company

Financial Consequences of Occupational Accident At Your Company

As entrepreneurs, we should always be aware of possible accidents occurring at our company. The more workers we employ the bigger likelihood of such unwanted happen. It is important to know that an accident taking place at our company affects mostly us – the owners. There are many negative consequences. Probably the worst of them are related to finance. Let us make a short list of potential consequences of such disastrous incident.

First financial consequence is related to eventual compensation paid to the worker that suffered from the accident. In vast majority of cases the compensation is on the company that employs the worker, because the incident took place in the company. This is unless we can prove that the accident was caused by a worker that has neglected some responsibilities or misbehaved during the work. However, even in such cases there can be some kind of compensation or pension ordered by a court. There can be really great amounts of money, upping to hundreds of thousands dollars as a one-time payment, and a pension paid regularly even to the rest of the suffered worker’s life. Such lifetime pension can go up to a couple of thousands dollars monthly. It all depends on particular circumstances of the accident.

Another financial result of the accident for our company can refer to decrease of number of clients. Nowadays it is essentially vital to be trustworthy company and to be considered as a reliable. Accident that occurs in our company can violate our reputation and make customers select other companies from the same branch. In this field quantities of loses are impossible to predict or estimate, it all depends on our branch and revenues. However, it is almost certain that some kind of declines will appear after the accident.

occupational-accident

Financial consequences contain also all kinds of material loses as a result of the incident. For instance if we are running a construction company, the accident could theoretically cause a damage or total destroy of some equipment, or demolishing of building machines. In other cases the loses can include electronic equipment, or any other company’s property. To rebuild or repurchase the appliances, devices and machines it takes much time and of course much money.

The last big item of financial loses after an accident are delays of our assignments. If the accident is grand and dreadfully harmful, and there are incidents like this, it may result in disability to accomplish some challenge in a set term. And all delays can result in revenues declines or even in losing contracts or challenges. As we know, none of consumers or partners want to cooperate with a company that retards realization of assignments or any other types of agreed terms.

To avoid all those loses there are two main things we can do. Firstly, to have a well-made occupational accident insurance that will cover all the compensations. And secondly to make our workers skilled and instructed to avoid mistakes.

The Platta Law Firm can help you after Occupational Accident.