WORKMENS COMPENSATION

WHAT IT COVERS

It covers the employer for liability towards the payment of compensation to employees for bodily injury and to their dependants in the event of fatal accidents (ie death) arising out of or in the course of their employment. .
BENEFITS UNDER THE POLICY The employer (policy holder) is relieved of the troubles of worrying about being saddled with huge legal liability as a result injury or death of employees arising out of or in the course of employment.
BASIC POLICY CONDITION

The cover is for employees under contract of service only as against independent contractor who is employed under contract for service
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REQUIREMENT FOR TAKING THE POLICY

It is required by all employers whose operations come under the Workman’s Compensation act
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OBLIGATIONS OF POLICY HOLDER
He has common law obligation to mitigate his losses. He is therefore to take all reasonable measures to keep a work- friendly environment.

> Should report all accident to the labour office as soon as Reasonable.
> To declare all salaries and allowances.
> To pay equitable premium

DUTIES AND OBLIGATIONS OF INSURER
(A) It is the duty of the insurer to issue policy on receipt of premium.
(B) Advise on measures to make the work place safe.
RENEWAL Since premiums are determined by salaries and all allowances, the Insured should at the end of the policy period declare truthfully such to Insurer for the right premium to be determined.

An additional premium or a refund is made depending on weather less
or more salaries were declared at the beginning of the period. The current declared amount then forms the basis for computing the premium for the subsequent period

RENEWAL
Since premiums are determined by salaries and all allowances, the Insured should at the end of the policy period declare truthfully such to Insurer for the right premium to be determined.

An additional premium or a refund is made depending on weather less
or more salaries were declared at the beginning of the period. The current declared amount then forms the basis for computing the premium for the subsequent period.

PROCEDURE FOR TAKING THE POLICY
(A) Completion of Workman’s Compensation proposal form
(B) Declaration of annual salaries and allowances of workers to be insured.
(C) Declaration of numbers of various categories of staff.
(D) Payment of premiums that is computed based on nature of work, the annual salaries and all allowances of the employees in addition to medical expenses loading.