Workers’ Comp Requirements for Coil Tubing Crews Working in High-Risk Zone
- Nate Jones, CPCU, ARM, CLCS, AU
- 4 days ago
- 2 min read
Coil tubing operations in the oil and gas industry are inherently high-risk, with crews exposed to heavy machinery, high-pressure wells, and remote locations. Ensuring that your employees are protected through proper workers’ compensation insurance is not only a legal requirement but a critical part of risk management.
Why Workers’ Compensation Is Essential for Coil Tubing Crews
Workers’ compensation insurance provides medical coverage and wage replacement for employees who are injured on the job. For coil tubing crews, risks include:
Falls or equipment accidents on rigs
Exposure to hazardous materials or chemicals
Injuries from high-pressure well operations
Failing to carry proper coverage can result in fines, legal action, and significant financial loss for your business.
Key Requirements for High-Risk Zones
Requirements vary by state, but there are several standard considerations for high-risk coil tubing operations:
State Compliance: Every state has specific workers’ comp laws, including coverage limits and reporting requirements.
Crew Classification: High-risk job classifications, like oilfield operators, often carry higher premiums due to increased risk.
Coverage Limits: Policies should cover medical expenses, lost wages, rehabilitation, and in some cases, death benefits.
Safety Programs: Implementing OSHA-compliant safety programs can reduce claims and lower insurance costs.
Number of employees and payroll size
Job classifications and risk exposure
Claims history
Safety and training programs
High-risk operations typically carry higher premiums, but proper training, safety protocols, and risk management strategies can help reduce costs while keeping crews protected.
Why Choose Wexford Insurance
At Wexford Insurance, we specialize in providing workers’ compensation and business insurance solutions tailored for the oil and gas industry. Here’s why businesses trust us:
Industry Expertise: We understand the unique risks faced by coil tubing crews in high-risk zones.
Custom Coverage Options: We work with multiple carriers nationwide to find policies that fit your business size, operations, and budget.
Risk Management Support: Our team offers guidance on safety programs and claim prevention strategies to lower costs.
