If you suffered a workplace injury, your world turned upside down overnight.
Suddenly you’re facing mounting medical bills and lost wages. Plus, you’re flooded with legal terminology designed to overwhelm and confuse you.
But before you know what to do, there’s one question that most injured workers ask first…
Do you file a workers comp claim – or a personal injury lawsuit?
The truth is, they’re very different things. Knowing the difference could mean everything when it comes to receiving maximum, fair compensation for your injuries.
Here’s What You’ll Discover:
- What Is Workers’ Compensation?
- What Is a Personal Injury Claim?
- Biggest Differences Between Workers’ Comp and Personal Injury Claims
- When Can You File Both?
- Common Third Party Injury Scenarios to Look Out For
- Finding the Right Attorney for Your Case
What Is Workers’ Compensation?
Workers’ compensation is insurance paid by employers to provide benefits to their employees if they get hurt on the job. It’s called a “no-fault” system because an employee can receive benefits regardless of who caused the injury.
Employers are required to carry workers’ comp in most states. When employees are injured on the job, they file a claim directly with their employer’s insurance provider. No proof of fault needs to be shown.
However, when employees accept workers comp benefits from their employer, they give up the right to sue their employer. This is known as the “exclusive remedy” doctrine.
Workers’ comp covers things like medical expenses, replacement wages (while out of work), disability benefits, and even death benefits. What it doesn’t cover is pain and suffering. That’s where personal injury claims come in.
What Is a Personal Injury Claim?
If you’re involved in a workplace accident, you can hire a personal injury lawyer who will assist you with filing a personal injury claim outside of the workers’ compensation system.
You may be able to sue for damages if someone other than your employer or coworker was responsible for your injury. Someone other than your employer would be referred to as a “third party.”
These are called third-party claims.
Workers have to prove four elements to win a third-party claim:
- The third party owed them a duty of care.
- The third party breached their duty of care.
- The breach caused the worker’s injuries.
- The worker suffered measurable harm (damage).
Personal injury claims, unlike workers’ comp, require proof that someone was negligent. They’re also litigation based, so it can take time to build a case. However, injury victims have the potential to win compensation for pain and suffering, full lost wages, emotional distress, and future medical expenses.
According to the Bureau of Labor Statistics, employers reported 2.5 million workplace injury and illness cases in private industry in 2024. With so many workplace injuries occurring each year, it’s very common for workers to be left without recourse if a valid third-party claim is not investigated alongside a workers comp claim.
OSHA statistics confirm there were 5,283 fatal work injuries recorded in the United States in 2023. Workplace injuries are nothing to take lightly, and many qualify for both workers comp and personal injury claims.
Biggest Differences Between Workers’ Comp and Personal Injury Claims
Workers’ comp is a no-fault system that provides wage and medical benefits. Personal injury claims involve suing a third party for negligence and can provide much larger financial awards.
Here’s a breakdown of the key differences between the two…
Workers’ Comp vs. Personal Injury Claim:
- No-fault vs. fault based – negligence must be proved
- Benefits capped by state limits vs. no caps
- No pain and suffering compensation vs. pain and suffering awarded
- Faster benefits vs. longer process
- Employers cannot be sued vs. third party can be sued
If you were hurt at work because of your employer’s negligence, a personal injury claim might be the best option for you. However, if the negligence was caused by someone other than your employer, you could file both a workers’ comp claim and a personal injury claim.
When Can You File Both?
Here’s a little known fact…
You can file BOTH a workers comp claim and a third-party personal injury lawsuit.
Many workers are eligible to file both claims at the same time. For example:
- Your employer sends you on a delivery route and you’re hit by another driver who failed to yield.
- You’re working on a construction site and are injured by faulty equipment. The manufacturer was negligent in producing safe equipment.
- You’re hurt on the property of someone other than your employer.
In these cases, you’d be allowed to file a workers comp claim with your employer’s insurance company and file a third-party personal injury lawsuit against the negligent party. Workers comp can help cover your immediate costs while you wait for a third-party settlement.
However, it’s important to note that if you receive a settlement from a third party, your workers’ comp insurer is typically reimbursed (called subrogation). Anything that comes from pain and suffering would not be reimbursed.
Common Third Party Injury Scenarios to Look Out For
If you were injured at work due to your employer’s negligence, then you would only be eligible to file a workers comp claim. But if someone other than your employer was responsible for your injury, you may be able to file both a workers comp AND personal injury claim. Here are some common scenarios:
- Car, truck, or motorcycle accidents while on the job
- Defective machinery caused by manufacturer’s negligence
- Injuries caused by someone else’s property (slip and falls)
- Injuries caused by someone else’s product (chemical exposure)
Just because you were injured at work doesn’t mean you don’t also have a third-party claim. If you suspect any of the above scenarios were factors in your accident, contact a personal injury lawyer immediately.
Finding the Right Attorney for Your Case
Too many injured workers assume they only have workers comp to file a claim with their employer. They quickly accept the compensation and give up their right to sue.
However, that isn’t always the case. Many workers don’t even know there could be a third-party claim on the table for them. The annual cost of job injuries and illnesses in the United States ranges from $174 billion to $348 billion.
That’s billions of dollars that workers are entitled to but aren’t receiving. If you don’t know there’s a third party, you’re not going to recover those damages.
Hiring a personal injury lawyer can help you determine every legal option you’re entitled to. They can review your case and explain what damages workers comp will cover versus your third-party claim.
Bringing It All Together
Workers comp benefits and personal injury claims are two different things. One is not going to replace the other.
They exist to provide relief in different situations. Personal injury lawyers know the difference and can help you decide which claims you should file.
