General Information about Workers' Compensation

"Workers' compensation" refers to both the benefits that employees injured on the job are entitled to and the method for obtaining those benefits. Workers' compensation laws are set by each state and these laws can vary from state to state. Additionally, the federal government has workers' compensation laws for federal government employees and employees in certain types of jobs.

In most states, the laws require every business to have some type of workers' compensation insurance to cover employees' injuries on the job. When an employee is injured, that employee files a workers' compensation claim. Filing this claim is similar to filing a claim with an insurance company. The employee isn't filing a lawsuit against their employer. Instead, he or she is filing a request for benefits. If you have been injured at your job, a lawyer experienced in workers' compensation claims can help you understand your claim and assist you in obtaining the maximum benefits possible.

How Do Workers' Compensation Laws Operate?

Workers' compensation laws are designed to allow employees who are injured at work to obtain a fixed amount of compensation, without having to sue their employer. Workers' compensation laws create an important "safety net" for employees who are injured at work or injured because of their job.

Generally, workers' compensation laws also provide some protection to employers and co-workers. These laws may limit the amount of money that employees can obtain from their employers. Injured employees may also be barred from suing their co-workers. In this way, the workers' compensation system is a "no-fault" system, where it doesn't matter whose fault the injury was. Negligence, whether of the employee, the employer, or a co-worker is not an issue. The injured employee is simply compensated for his or her work-related injures.

Workers' compensation is an "exclusive remedy" with respect to work-related injuries. The term "exclusive remedy" means that unless an employee can show that there was a third party responsible for his or her injury, workers' compensation is the only benefit or monetary award that an employee can obtain. A third party may be someone other than an employer or coworker (like someone who causes a car accident and injuries you while doing your job) or manufacturer of fault equipment.

Many employees injured by third parties or faulty equipment while working successfully sue the third parties or manufacturers of the machines or products for compensation for their injuries. A lawsuit against a third party takes place in court, as opposed to workers' compensation claims, which are handled by the Iowa Workers' Compensation Commission. Employers generally aren't involved in these lawsuits, but an employer may generally recover their workers' compensation payments from the compensation that an employee obtains from a third-party lawsuit. If an employee does not sue a third party at fault, the employer and the insurance company that provides the workers' compensation insurance may file a lawsuit against the third party. This joinder allows the employer and the insurance company to protect their right to be compensated for benefits that they have already paid to the injured employee.

The employer and the insurance company must wait until the employee actually receives their compensation award, then the employee must pay back any workers' compensation benefits already received. An experienced workers' compensation lawyer will be able to advise you if you think that a third party may be responsible for your on-the-job injury.

Who Is Covered by Workers' Compensation Laws?

Employees who work in certain fields may be exempt from the workers compensation system. These employees may include agricultural workers, domestic workers and independent contractors. If you are unsure if you are entitled to workers' compensation benefits, you should contact a lawyer in your area who is experienced in workers' compensation cases.