Workers’ compensation insurance is coverage designed to protect workers who have been injured or made ill while working. Each state has its own regulations regarding workers’ compensation insurance. Currently, Texas is the only state that doesn’t require employers to have these policies.
Workers’ compensation protects the employer as well as the employee. The protection for the employer comes in the form of covering legal fees should an employee sue due to an injury or illness. Having a good workers’ compensation policy can help avoid legal issues.
Several companies provide workers’ compensation policies for businesses. Travelers is one of those companies. Today’s focus is on what Travelers offers in terms of coverage as well as their ratings.
What is Travelers Insurance?
Travelers leads the industry in workers’ compensation insurance. They are the number one writer of these types of policies in the US. They offer insurance coverages in 42 of 50 states and Washington, DC. Their team is experienced in customer service, and they strive to give the impression that each customer, regardless of business size, is the most important customer they have.
Travelers offers flexible workers’ compensation solutions. The company prides itself on being responsive to the needs of customers. The goal is to help facilitate safe work environments for their clients and the clients’ employees. Assisting in the creation of safe work environments helps to lower costs overall.
The coverages of Travelers workers comp insurance
Workers’ compensation insurance coverage is required in almost every state. That doesn’t mean that you can expect identical coverages everywhere. While state requirements may be similar, each insurance carrier offers slightly different coverages.
The insurance company’s offerings may also vary based on the experience of their staff. Does the insurance company help you facilitate risk management training, for example? Are they supportive of your business after you purchase a policy, or are they hands-off unless you make a claim?
Travelers offers a wide selection of insurance products and services to help customers tailor their policies to the unique composition of their business. Just as each business is unique, Travelers insurance attempts to tailor the insurance offerings to meet the customized needs of each company.
>>MORE: Compare workers comp insurance quotes online from reputable providers
Learn more at the best workers comp insurance companies and the cheapest workers comp insurance companies.
How much does Travelers workers’ compensation insurance cost?
Several factors contribute to the cost of workers’ compensation insurance coverage. The rates can vary based on:
- The company’s location — Which state do they call home? How long have they operated in this location?
- The payroll — How much does the company pay its employees? What is the monthly payroll? The annual payroll?
- The claim history — Has the company ever made a claim against its workers’ compensation policy? If so, how often does it happen? Is it a usual occurrence, somewhat rare, rare, or extremely rare?
Travelers Insurance advertises that they offer competitive pricing for their policies as well as customized insurance programs for their customers. Typically, workers’ compensation quotes are based on a rate the company charges per $100 of payroll expenditure. However, the base rate can be adjusted for the kind of work your company does and where that puts the business on the risk assessment scale.
The individual insurance companies don’t determine the classification codes. Instead, the states provide the risk classifications. This means the state plays a role in your insurance costs. If your industry is considered risky, you will need to purchase different workers’ compensation coverages than your neighbor whose business is in a less risky category.
Insurance companies must use experience modification when calculating workers’ compensation rates. The experience modification calculation is based on your business claims history.
Because costs of policies can vary based on multiple factors, it’s a good idea to find a company, such as Travelers, that customizes policies based on documented business criteria. While required virtually everywhere, workers’ compensation insurance isn’t a one-size-fits-all insurance solution.
The same factors that apply to the rate calculations help to dictate the kinds of workers’ compensation coverages that each company requires. One major contributing factor to the types of coverage offered is the company’s size requiring the insurance. Small businesses have different needs compared to large corporations.
Learn more at how much workers comp insurance costs
The ratings of Travelers workers compensation insurance
Like several other companies, Travelers was founded in one place but is now headquartered elsewhere. In this case, St. Paul, Minnesota, was the original home base for Travelers when it was formed in 1853. Now the company calls New York City home. Their employee numbers have reached 30,000 while they have 13,500 independent agents in four countries: the US, Canada, Ireland, and the UK.
WalletHub editors give Travelers a 3.8 out of 5 rating overall. Travelers achieved Better Business Bureau (BBB) accreditation in 2010. That entity gives Travelers their A+ rating. Standard & Poor’s gives Travelers an AA rating for financial stability, and Moody’s gives its A2 rating. AM Best gives them an A++ rating.
Traveler’s NAIC rating is at 0.43. What does that mean? The insurance company has received fewer complaints than is average for insurance providers. The NAIC does adjust its rating scale for size.
>>MORE: Compare workers comp insurance quotes online from reputable providers
Final thoughts
All workers’ compensation insurance is not the same. While it is required in almost every state, the states have individualized regulations based on risk assessments that are customized by industry. You want to choose an insurance company that can offer appropriate coverages for the level of risk you incur within your industry.
Travelers Insurance is one of the top—if not the top—workers’ compensation insurance providers in the country. They offer customized policies based on industry and customer needs. Their rates are based on your location, payroll, and claim history.
Travelers has received excellent financial stability ratings from Standard & Poor’s, Moody’s, and AM Best. They also have an A+ rating with the Better Business Bureau. These ratings mean they can handle whatever claims may be made against your policy. Their NAIC rating indicates that they have fewer complaints than is typical for an insurance company of their size. Travelers Insurance has been doing business in the industry for more than 100 years. They offer a variety of products in addition to their workers’ compensation policies. If you’re interested in Travelers Insurance, they have a “Find an Agent” link at www.travelers.com.
