California Workers’ Compensation Insurance (usually referred to as California Workers’ Comp Insurance) is designed to provide medical benefits to workers who were injured while on the job. California Workers’ Comp Insurance is not general health insurance, but California’s Workman’s Comp insurance is to protect workers from major medical bills when an injury is job related.

California Workers’ Compensation rates are strictly controlled by the government. The government collects a tax, the California Worker’s Comp Insurance) on employers for the workers’ benefit. CA workers’ comp rates vary depending on claims received by the California Workman’s Comp Insurance office. California worker’s comp rates can be affected by both the number of claims and the time period the claims are filed in. California Workers’ comp insurance rates provide coverage for work injuries, from great to small. CA workers’ comp rates are important to the employers, because a small rate change can make a huge difference in the amount paid out by the employer. An employer may not charge these amounts for California’s Workers’ compensation rates, to employees, but the money for the CA worker’s comp rates must be paid directly by the employer.

Because a small change in the percentage in the CA workers’ comp rates can result in significant monetary increases assessed in California Workman’s Comp rates against a company for the California Workers’ Compensation Insurance Fund, employers are anxious to encourage safe practices at work. Changes in CA workers’ comp rates are based on use of the system, and are a standard percentage charged to the employer, based on payroll expenses. CA Workers Compensation rates are closely monitored by both the government and the employer. CA workers’ comp rates are generally based on a standard percentage of the total payroll. California workers’ comp rates are then changed based on an employer’s use of the California worker comp insurance. When claims are low, the percentage charged to the employers remains low. As claims go up, so does the percentage charged to the employer for California workman’s comp insurance. California workman’s comp rates are subjective based on usage by individual workmen within the company.

Employers have a stake in maintaining low usage of the California Worker Comp Insurance Fund, because it directly affects their bottom line. With changeable CA Workers’ Compensation rates, employers have another reason to promote safety in the workplace. When they encourage safety in the workplace, it shows in their bottom line with lower assessment against their California Workman’s Comp Insurance rates.