Still Unsure About Filing a Workers’ Comp Claim? Here’s the Hard Truth

Delaying a workers’ compensation claim is one of the biggest mistakes an employer can make.

Think you’re saving money by waiting it out? Hoping the injury will “resolve itself”? Wrong.

Failing to file a workers’ comp claim on time can cost your business thousands in fines, legal fees, and increased premiums—not to mention potential lawsuits. The law is clear: employers must report workplace injuries. Dragging your feet won’t make the problem disappear. It will make it worse.

The reality? You need to file the claim. And you need to do it now.

In this post, we’re breaking down why delaying a workers’ compensation claim is a serious risk, how it can haunt your business, and what you should do instead. Let’s get into it.

“Do I Have to File a Workers’ Comp Claim?” Yes. Every Time.

We get the same call over and over from employers:

“An employee got hurt, but it’s minor. Do we need to file a workers’ comp claim?”

Every single time, our answer is the same: Yes. File the claim.

Yet employers hesitate. First, they fear their workers’ compensation premiums will increase.

Yes, it’s true—filing a claim can impact your premiums. But here’s what too many businesses fail to consider: the long-term financial and legal consequences of NOT filing can be far worse.

When an employer fails to report an injury, it opens the door to higher legal costs, fraud risks, compliance penalties, and even civil lawsuits. What starts as a “small” injury can escalate into a significant financial burden that could have been avoided simply by following the law.

The reality is that workers’ compensation is part of your Total Cost of Risk (TCOR). It’s not just about premiums—it’s about managing your company’s financial exposure, liability, and long-term stability.

So before you decide to ignore or delay a claim, ask yourself: Is the short-term premium increase worth the much more considerable risk of legal battles, out-of-pocket medical costs, and loss of coverage?

The choice is clear. File the claim—every time.

Your Policy Requires It—And Your Bottom Line Depends on It

Beyond common sense and risk management, there’s a fundamental reason you must file a workers’ compensation claim as soon as you’re aware of the injury: your insurance policy requires it.

Most workers’ compensation policies state that you must report claims immediately or as soon as the employer becomes aware of the injury. The language in the policy isn’t a suggestion—it’s a contractual obligation.

Why? Because the longer a claim sits unreported, the harder it becomes to control the outcome. Workers’ compensation insurance carriers must get ahead of the claim as early as possible. Delays lead to:

✔ Higher medical costs – Delayed treatment often means a worsening injury and more expensive care.
✔ Longer recovery times – Late reporting increases the chance that an employee will be out of work longer than necessary.
✔ Lost ability to investigate – Without an early report, the insurer has less control over the narrative, making it harder to dispute fraudulent or exaggerated claims.
✔ Increased legal exposure – If a claim is denied or mishandled due to late reporting, you risk costly legal disputes.

But here’s the impact many employers overlook—early claim reporting directly benefits your Experience Modification Factor (EMR/Mod Factor).

How Early Claim Reporting Lowers Your Workers’ Comp Costs

Your Experience Modification Factor is critical to your workers’ comp insurance pricing. A higher EMR means higher premiums—but early claim reporting helps keep your EMR under control.

✅ Faster claim closure – The sooner an employer files a claim, the sooner the carrier can work to resolve the claim—open claims that drag on increase claim costs, negatively impacting your EMR.
✅ Lower overall costs—Quick reporting reduces medical expenses, lost wages, and legal fees, which all factor into your EMR calculation.
✅ Stronger claim outcomes – When insurers can intervene early, they control costs better, reduce unnecessary treatments, and limit fraudulent claims.
✅ Improved safety ratings and bidding power—A lower EMR helps businesses qualify for better contracts, lower insurance rates, and maintain compliance.

Carriers don’t require immediate reporting for their benefit—it’s also in your best interest. The sooner you file, the greater the chance of containing the loss, minimizing costs, and controlling the case.

If you’re considering delaying a claim because you “want to see how the injury plays out,” think again. Your policy doesn’t give you that option, nor does the law.

The bottom line? File the claim. Early and every time. Your premiums, your EMR, and your business depend on it.

A Minor Injury Today Could Be a Major Lawsuit Tomorrow

One of the employers’ most significant mistakes is assuming they don’t need to report a minor injury. They think, “It’s just a small cut, a sore back, or a mild strain. We’ll handle it in-house.”

So, instead of filing a workers’ compensation claim, they decide to:
✔ Pay for the medical costs out of pocket.
✔ Cover the employee’s lost time with a few extra PTO days.
✔ Assume the injury is no big deal and move on.

And for a while, everything seems fine until it’s not.

What Happens When That “Minor” Injury Gets Worse?

Fast forward a few months—or even several years—and that same employee is now dealing with a serious medical issue. Maybe that sore back turns into a herniated disc requiring surgery. Perhaps the minor wrist strain becomes carpal tunnel syndrome that requires months of physical therapy.

And here’s the real problem: You’re now fully liable because you didn’t file a workers’ compensation claim when the injury happened.

At this point, the insurance carrier may deny coverage because the claim was never reported. That means your company is now financially responsible for medical bills, lost wages, and possibly even legal damages.

Pay Now or Pay Much More Later

Employers think they’re saving money by paying for minor injuries out of pocket. But in reality, they’re exposing themselves to unlimited liability.

✔ No coverage from your workers’ comp policy – Late claims are often denied, meaning your company foots the bill.
✔ Potential legal action from the injured employee—They can file a lawsuit, arguing that you failed to protect their rights.
✔ Higher long-term medical costs – What starts as a $200 doctor visit could turn into a $200,000 claim if surgery, rehabilitation, and lost wages are involved.
✔ Regulatory penalties for failing to report—In many states, failing to report an injury violates workers’ compensation laws and can result in fines or sanctions.

There’s no way to predict the future. What seems minor today could become a career-altering, high-cost injury. If that happens, and you never filed the claim, you are now responsible for every expense.

The Simple Solution? File the claim—every time.

It’s not worth the risk. Even if the injury seems insignificant, filing a claim protects your business from future liability. The insurance carrier can investigate early, monitor the situation, and contain costs before they spiral out of control.

The safest, wisest decision? File the claim. Protect your company. Avoid a financial disaster.

The Truth Isn’t Always Comfortable—But It’s What You Need to Hear

We don’t tell employers what they want to hear—we tell them what they need to hear.

We are honest. We are consistent. We are straightforward.

When you ask, “Should we file this workers’ comp claim?” Our answer is always the same: Yes—every time.

Not because it’s the easy answer but because it’s the correct answer. Filing on time protects your business, employees, and bottom line. Delaying or avoiding a claim only increases your risk, costs, and liability.

Workers’ compensation laws exist for a reason. Ignoring them will not solve the problem; proper claims handling will.

Need Help Navigating a Workers’ Comp Claim? Let’s Talk.

We’ve guided countless employers through workers’ compensation compliance, claims management, and risk reduction. If you’re unsure about a claim, don’t wait.

📞 [Call us today] to discuss your situation.
📩 [Schedule a consultation] for expert guidance.
🔗 [Learn more about workers’ comp best practices] on our Youtube channel.

The choice is yours. Do it right. File the claim.