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How Does Workers’ Compensation Work?


Workers’ compensation is a benefit offered by some employers which helps pay for hospital and medical expenses associated with an injury that was sustained on the job. Workers’ compensation may also provide disability payments if you are unable to work following you injury.

While workers’ compensation does cover most injuries, even those caused by the employee’s negligence, it is important to note that there are exclusions. For example, injuries that occur while an employee is intoxicated or under the influence of illegal drugs are not covered by workers’ compensation.

Other instances in which workers’ compensation may not imply include:

  • Self-inflicted injuries
  • Injuries suffered while an employee is committing a crime
  • Injuries sustained by an employee while not on a job
  • Injuries suffered by an employee acting in a manner that violates company policy

Employers often benefit from offering workers’ compensation because it preempts them from being held liable for most on the job injuries. As such, a worker who receives workers’ compensation cannot sue their employer for the injuries they suffered in the workplace.

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