No Fault Plans - Worker's Comp Flashcards
When is an employee entitled to worker’s comp?
An employee is automatically entitled to certain benefits whenever the employee suffers a “personal injury by accident arising out of and in the course of employment.”
Does it matter if the employee was negligent for them to receive worker’s comp?
No. Negligence and fault are immaterial. An employee’s contributory negligence does
not lessen their recovery, nor does an employer’s freedom from fault lessen his
liability.
Who is covered under worker’s comp?
Worker’s comp coverage is limited to employees, and does not extend to independent contractors.
What kind of benefits are offered under worker’s comp?
A variety of benefits are provided, including a fraction of lost wages and typically
full medical expenses.
Can an employee sue an employer for damages under worker’s comp?
No. The employee gives up their right to sue the employer for damages.
Can an employee sue third parties for damages under worker’s comp?
The employee can still sue third-parties responsible, although the damages recovered first go to reimburse the employer for compensation outlay.
Who is worker’s comp administered by?
Worker’s comp is administered by administrative commissions, with relaxed rules to further the intent of the process.
Why is worker’s comp good for employers?
The employer secures its liability through a variety of insurance mechanisms, passing the cost along to the consumer by including it in the cost of the product.
What is the underlying philosophy behind worker’s comp?
That financial and medical benefits should be provided for the victims of work-connected injuries in the most efficient, most dignified, and most certain way, by allocating them to the consumer of the industry’s products.
