Workers' Compensation pays for your medical treatments and care when you're injured or become ill because of your work. It also provides additional benefits if you're disabled or killed while on the job. Learn about several types of Workers' Compensation as you understand your benefits package.
See Health Care Workers Compensation for examples of how coverage can vary by industry.
Medical Care
When you're injured at work, you need to see a doctor. He or she will evaluate your injury and prescribe treatment.
You may need to visit the hospital for medical care or undergo surgery. Workers' Comp will generally cover these visits, and it can also cover medically necessary equipment, including crutches, braces, or a wheelchair.
Your coverage may also pay for chiropractic treatment, acupuncture, or counseling. In most cases, Workers' Comp will not cover experimental or investigative treatments.
Rehabilitation
Serious injuries may require rehabilitative services such as physical therapy that help you recover. Workers' Comp can pay for this rehabilitative therapy.
It could also cover any rehab you need to regain skills or abilities required for your job. If your injuries prevent you from returning to your former job, your Workers' Compensation benefits may pay for evaluations, tuition, retraining, and other expenses required to train you for another position.
For example, vocational programs are commonly part of return-to-work plans; see Schools (Vocational) Insurance for related training considerations.
Disability
Workers' Comp disability coverage pays you for the wages you lose while you're recovering from your illness or injury. There are four types of disability it can cover.
- Temporary partial disability — you are prohibited from performing certain duties of your job for a limited period of time.
- Temporary total disability — you are prevented from working at all for a limited period of time.
- Permanent partial disability — a permanent impairment that partially hinders your ability to work.
- Permanent total disability — you will never return to your current or a similar job.
The amount of Workers' Comp money you receive for a disability depends on how much you earned before your injury or illness occurred and is often capped at about two-thirds of your wages. Additionally, there is often a waiting period before you can receive disability payments, and you generally do not pay income tax on this income.
Death
The death benefit in your Workers' Comp plan covers the financial contributions you made to your dependents. It is paid to your spouse, parent, child, or sibling and could equal a percentage of your earnings.
The death benefit of your Workers' Comp coverage may also pay for funeral and burial expenses.
Every state offers a slightly different take on Workers' Compensation, so refer to your company's benefits for details on the types of Workers' Comp you are eligible to receive. For more details, talk to your Human Resources department or talk to an agent.
Frequently Asked Questions
What medical costs does Workers' Compensation cover?
Workers' Comp typically covers doctor visits, hospital care, surgery, medication, and medically necessary equipment related to a work injury or illness.
Can I get paid for time off work after a work injury?
Yes. Disability benefits can replace part of your lost wages while you recover, depending on the severity and type of disability.
Will Workers' Compensation pay for retraining if I can't return to my old job?
Often it will cover evaluations, tuition, and retraining expenses if you need to learn new skills to return to work in a different role.
Who receives death benefits if a worker dies on the job?
Death benefits are paid to eligible dependents such as a spouse, children, or other designated family members and may include funeral costs.