Worker's compensation insurance premiums:
A) Are the same amount for all employees of a company, regardless of employee task.
B) Are remitted in full at the end of the year to ensure accuracy.
C) Are governed by state laws and vary according to worker job classiﬁcation.
D) Are mandated by the Fair Labor Standards Act.

Question

Quizplus · Accepted Answer

Worker's compensation insurance premiums are governed by state laws, and the rates vary according to the worker's job classification. Different job classifications have different levels of risk, so the premiums will differ accordingly. A and B are incorrect because the premiums are not the same for all employees and are paid in installments throughout the year, not remitted in full at the end of the year. D is also incorrect because worker's compensation insurance is mandated by state laws, not federal laws like the Fair Labor Standards Act.

Worker's Compensation Insurance Premiums