KY Workers’ Comp Insurance

Under Kentucky law, a deceased employee’s spouse and other dependents may be eligible for death benefits. Eligible dependents may see up to 75% of the employee’s average weekly earnings for up to 500 weeks. 

The family is also eligible for funeral-related expenses based on the state’s average weekly wage, which changes annually. However, for this to apply, the employee must have died within four years from the date of the injury.

Like many states, Kentucky allows employees, employers, and insurance companies to come to an agreement called a settlement. These are usually in the best interests of everyone involved and the employee will see a lump sum payment. 

However, while most states require that the employee waive all rights to future claims stemming from the injury, Kentucky does not. The state allows the case to be reopened if the employee’s condition worsens within four years of the settlement. 

Note that all settlements must be approved by the state’s Department of Workers’ Claims, but a formal hearing may not be necessary.

Employees have just two years to file a workers’ comp claim in Kentucky. That timeline is based on the date of the accident or injury or the date the employee became aware of the disease/disability, whichever is later. 

In most cases, a workers’ compensation policy will cover an employee’s medical costs, lost wages, and more. 

Here’s a breakdown of what’s usually covered:

• The costs of emergency care to treat the injury at the time it occurs
• Medical costs that stem from the injury, such as corrective surgery
• The costs of medications and other requirements stemming from the injury
• Rehabilitation after medical care
• Temporary total disability, permanent partial disability, and permanent total disability benefits
• Death benefits for the spouse and surviving dependents/qualifying family members

Too often, employers look at workers’ compensation as a cost without a benefit. 

The truth is that these policies protect employers just as much as employees. Without a workers’ comp policy in place, the employer could be on the hook for paying medical costs and other related costs out of pocket, rather than having the insurance company pay those costs.