Theme parks, carnivals, and attractions of all kinds are in the business of making happy memories. But a simple misstep on a rain-slick staircase or ride malfunction can put those responsible for creating joyful memories, your employees, at tremendous risk. It is vital to ensure your employees are properly protected with insurance.
Workers’ compensation (aka WC or workmans’ comp) insurance is vital to mitigating risks and shielding companies from liability when workers are hurt on the job or suffer a work-related illness. This post will cover the details of workers’ comp for amusement parks, carnivals, fairs, festivals, and other entertainment industry employees and outline how a policy from McGowan Program Administrators (MPA) can help protect your employees and keep your workforce thriving.
How workers’ compensation protects employees
Many states require workers’ compensation insurance coverage for full-time, part-time, and seasonal workers. Exemptions may include independent contractors and government employees. Workers’ comp is meant to provide a safety net for employees who are hurt on the job and their employers.
Workers’ compensation insurance typically covers:
- Medical expenses – WC covers all costs associated with healthcare: doctor and hospital visits, surgery, prescriptions, and so forth. Generally, it covers any necessary medical expenses to minimize long-term complications and get the injured employee back to work as soon as possible.
- Wage replacement – Workers’ comp provides employees hurt on the job with temporary wage reimbursement for payments lost during recovery.
- Disability benefits – If an employee suffers permanent disabilities from a job-related accident, WC provides continuing support.
Also read: Keeping Your Amusement Park Accessible and Compliant with ADA Guidelines
Is workers’ comp required for the amusement industry?
The precise rules and benefits of WC insurance vary between states. Some states have an alternate program or offer exemptions for some industries. However, for amusement parks and similar venues, the inherent risk of employees being hurt on the job means that workers’ comp insurance (or the state equivalent program) is a requirement in all 50 states.
It may be tempting to skip out on WC insurance to save money in the short term. However, the consequences far outweigh any benefits:
- Fines – States impose harsh penalties on non-compliant businesses, with penalties ranging from daily fines escalating from hundreds to thousands of dollars.
- Litigation – Employees hurt on the job can sue if workers’ compensation is not provided, and amusement companies could find themselves stuck with enormous medical bills and additional damages.
- Damaged reputation – Not meeting state regulations, paired with injured employees and potential litigation, can negatively impact consumer trust in your brand.
Benefits of workers’ compensation
Besides being required in every state, workers’ comp provides many benefits, both for employees and amusement companies.
Benefits of workers’ compensation
Besides being required in every state, workers’ comp provides many benefits, both for employees and amusement companies.
For employees hurt on the job, they include:
- Employee security – Employees can rest assured that they are covered in the worst-case scenario, which improves employee morale.
- Reduced turnover – Valued and protected employees are more likely to stay in a role longer.
- Financial security – Employees will not face financial ruin from excessive medical bills if they are hurt on the job.
- Quality healthcare – Workers’ comp ensures quick access to necessary medical providers without the everyday concerns of health insurance coverage and high expenses.
For amusement companies, benefits include:
- Reduced liability – WC insurance protects employers through a no-fault system, meaning employees who accept workers’ comp payments are limited in their legal recourse.
- Coverage for seasonal workers – Many amusement parks rely on seasonal labor, and workers’ compensation ensures those workers are covered.
- Peace of mind – Park owners and managers can focus clearly on their duties, knowing that their staff is adequately protected in the case of accidents.
Also read: Protect Your Guests with an Event Crowd Management Plan
The McGowan Program Administrators difference
MPA offers several advantages over standard WC insurance coverage, especially for the amusement industry and its unique risks.
- Custom coverage – MPA has many years of experience working with amusement and entertainment clients, which has enabled our team to create policies addressing the precise risks and needs of the amusement industry.
- Dedicated claims adjusters – Our adjusters are deeply experienced in covering amusement parks and similar businesses, which speeds up and enhances claims resolution compared to a general insurance company.
- Risk management guidance – MPA provides guidance, consulting, and other resources with the amusement industry in mind. Our experts help you mitigate risk by reducing workplace hazards and helping you achieve lower premiums.
- Industry relationships – Through our established partnerships with industry leaders, we provide you access to expert resources.
- Competitive premiums – MPA believes in rewarding our customers’ commitment to safety. By analyzing your risk profile and safety practices, we provide competitive premiums friendly to your budget.
MPA can create a workers’ comp insurance policy that protects employees who are hurt on the job and your bottom line while helping your amusement park continue its mission of spreading joy.
Get in touch with one of our experts today to get your free, personalized quote.
