Working from Home: Are You Still Eligible for Workers’ Compensation?

An estimated 70% of full-time American workers have worked remotely and many are still doing so under a new hybrid working model. One of the questions that arise during teleworking is workers’ compensation and the liability of employers should accidents arise while working remotely. Since there is an unclear delineation as to what constitutes work done for the company and what could happen while at home, the question remains whether an employer should pay for the injuries and loss of productivity caused by incidents outside the usual place of work or while teleworking.

Responsibility of Employers

The Occupational Safety and Health Act was signed into law in 1970 by President Nixon. Under the law, workplace standards are set to ensure that workers are protected from hazards that endanger their health and safety. It covers the private and public sectors. The body that enforces the law and hands out fines and penalties for violations of rules and standards is the Occupational Safety and Health Administration (OSHA).

There are several consequences when an accident happens at the work site such as increase in medical costs, absences, loss of productivity, and shortfall in wages. In worst case scenarios, the injuries of an employee are extensive leading to a temporary or permanent disability. Deaths can also occur leaving behind loved ones. When accidents and injuries occur, the worker is entitled to compensation if negligence can be proven by a personal injury lawyer. Payments will go towards medical bills, therapy and rehabilitation, and foregone wages or loss of future employment.

Workplace Injuries and Accidents at Home

Since the pandemic, work from home has become the norm and even when rules were relaxed, many continue to telework. Employees though wonder if accidents that occur outside the office are covered by the workers’ compensation insurance.  US states have different workers’ compensation laws.  However, in most states, businesses are obliged to carry this type of insurance to cover injury and accident claims.

Hence, an injury or illness that occurs in the place of work is compensable under the law. An employee’s home is considered a workplace since this is where they carry out their duties even when working remotely. This means that the hazards that an employee faces at home are interpreted as threats that they encounter at the place of employment. What the worker needs to prove is that the injury is work-related or during office hours. Thus, regardless of the location, an injury or accident that happened while working or acting in the interest of the company is eligible for compensation. In the same manner, companies are responsible for providing a safe teleworking environment for their workers. They can do this by establishing guidelines for a home workstation and conducting regular checks on offices to ensure that they are up to standard. In addition, work hours and breaks can also be scheduled while working from a distance.

Telecommuting raises questions whether an employee is covered by the workers’ insurance plan should accidents and injuries occur.  The bottom line is, regardless of location, a worker is covered by the insurance if it is proven that they were injured while performing their duties.