Every state administers its workers’ compensation insurance program differently, but having a policy is mandatory for virtually all companies with employees. And that generally means all types of employees—full-time, part-time, and seasonal. So, to answer the question “Are seasonal workers covered by workers’ compensation insurance?” yes, they can receive benefits under their employer’s workers’ compensation insurance policy.
Continue reading to learn about workers’ comp coverage for seasonal employees.
Do seasonal employees pose risks to a business?
Business activities come with risk. That’s true whether those activities are conducted by full-time employees, part-time employees, or seasonal workers. A seasonal worker may be less familiar with things like your business procedures, the equipment you use, and your facility in general, and therefore may pose a somewhat higher risk than a permanent employee.
However, that doesn’t mean you should be reluctant to bring them on as needed. For many businesses, including those in retail, agriculture, landscaping, hospitality, and other industries, seasonal help is essential in order to keep up with surges in demand. As a business owner, managing peak-season risks is vital. By prioritizing onboarding and safety training, you create a safer workforce, reduce workplace disruptions, and ensure your operations remain efficient during busy periods.
Are seasonal employees considered employees or independent contractors?
Because of the temporary nature of seasonal workers’ employment, business owners sometimes wonder if they are considered independent contractors. The short answer is no, they typically are not independent contractors. They are employees, even though they only stay with the company for a defined period.
Understanding this distinction is critical for HR professionals. Clarifying worker classification prevents compliance issues and helps ensure you’re correctly categorizing staff for insurance purposes.
Common workplace risks for seasonal employees
Seasonal workers face the same challenges as permanent employees. However, the consequences can be more severe for various reasons.
For example, anyone can suffer an injury from overexertion (like lifting a heavy box without assistance), but seasonal employees may be less acclimated to the effort required and, therefore, more prone to hurting themselves. Similarly, a person who works in a fast-paced and unfamiliar environment might be more prone to slip or trip and fall.
For both employers and staff, recognizing common seasonal workplace risks—such as those found in retail, hospitality, and warehousing—is the first step toward prevention.
Types of injuries and conditions covered by Workers’ Comp
Workers’ compensation insurance covers a wide range of workplace injuries. This includes strains/sprains, herniated or bulging discs in the back or neck, broken bones, and lacerations. Repetitive stress injuries, such as carpal tunnel syndrome, tendonitis, and bursitis, may also be covered.
Seasonal workers should be advised to tell their employer about any injury that occurs at work. If an incident happens, seasonal and temporary workers should feel empowered knowing that understanding their workplace rights is key to recovery.
How much does Workers’ Compensation coverage cost for seasonal employees?
The cost of workers’ compensation insurance is based on gross annual payroll. However, the rate varies by state. For example, the average cost per $100 in wages ranges from $.75 in Texas to $2.74 in Alaska.
If you’re wondering, “Will I have to pay the same workers’ compensation premium for full-time and seasonal workers?” the answer is no. The premium you pay is calculated based on the payroll you pay your workers, so the premium you pay for covering seasonal workers is based on the (seasonal) wages they receive.
For example, if you have one full-time employee earning $40,000 per year and the rate on your workers’ compensation insurance policy is $2.50 per $100 of payroll, you would pay $1,000 in premium to cover that full-time employee. If you bring a seasonal worker on for three months and pay them $10,000 in wages, you would pay $250 for their work comp coverage.
You can get a workers’ compensation insurance quote online. It takes just minutes and all you have to do is provide some basic information about your company. If you choose to buy a policy, you can do that and also report claims online as well.
If you have questions about workers’ compensation insurance and seasonal workers, our licensed insurance experts are happy to answer them. Contact us at your convenience.
Whether you’re looking for specific benefits for seasonal employees or need general guidance, securing the right seasonal worker insurance is a smart financial move.
How does Workers’ Compensation coverage protect seasonal employees and businesses?
Seasonal workers get the same benefits from workers’ comp insurance coverage that full-time and part-time employees do. That includes helping to pay medical bills associated with a work-related injury or illness, as well as providing compensation for lost wages.
For businesses, workers’ comp insurance coverage provides protection from the high cost of workplace injuries. It can also protect your business if an employee sues you. And having adequate workers’ comp insurance coverage means you won’t face government fines and penalties for being uninsured or underinsured. For HR teams, simplifying compliance by having this coverage in place before seasonal hiring begins is essential. Then, accurate recordkeeping and payroll tracking is important for smooth workers’ compensation reporting.
You can make your job easier by having a workers’ comp policy from a reliable business insurance provider like biBerk. We’re part of the Berkshire Hathaway Insurance Group, a trusted name in insurance with decades of insurance expertise and a focus on making business insurance simple.
Filing a Workers’ Compensation claim as a seasonal employee
It’s important that seasonal workers understand they’re legally entitled to workers’ compensation benefits but that they have to file a claim to receive them. If a worker gets hurt, they should seek medical care promptly if needed and report the injury in writing as soon as possible.
Then, they must work with their employer to file a workers’ comp claim. In addition, they should stay in contact with them and the insurance company as appropriate, providing any additional information needed to support the claim. A collaborative approach is the best way to ensure seasonal employees get the workers’ comp benefits they deserve. For anyone wondering, it’s reassuring to know that workers’ comp for seasonal workers exists to provide benefits for seasonal employees if they’re injured on the job.
How can businesses reduce risk when hiring seasonal employees?
If you use seasonal workers, you have a responsibility to protect them from on-the-job injuries and illnesses. You can reduce the risk of them being injured and the resulting workers’ compensation insurance claims by implementing workplace safety practices like:
Workers’ compensation for seasonal employees helps cover medical costs, but it’s better for everyone if injuries don’t occur. Still, when businesses invest in seasonal worker insurance, they are choosing a proactive path.
A policy not only provides workers’ comp for seasonal employees who might otherwise be vulnerable, but it also ensures that workers’ compensation for temporary employees is managed with the same professional approach as full-time staff.
By maintaining clear reporting procedures, HR teams can better prepare for workplace injury situations and support a more confident, productive team. Additionally, providing benefits for part-time employees and seasonal staff creates a more stable, satisfied workforce that is less likely to face long-term hardship after an accident.