Texas Workers’ Compensation Act — Business Management Daily: Free Reports on Human Resources, Employment Law, Office Management, Office Communication, Office Technology and Small Business Tax Business Management Daily
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The Texas workers’ compensation system is designed to replace the wages of employees who miss work due to on-the-job injuries. The system works as a no-fault guarantee. Employees who can show they were injured while working are entitled to a portion of their earnings and paid medical care for those injuries. They needn’t prove their employer was negligent. In exchange, injured employees can’t sue employers for negligence.

The Texas Workers’ Compensation Act is administered by the Texas Department of Insurance through the Division of Workers’ Compensation (www.tdi.state.tx.us/wc).

Texas is unique in one very important respect: It’s the only state in which employers can choose to opt out of the workers’ comp system. Every other state makes carrying workers’ comp insurance mandatory, and failure to do so is a crime. About 38 percent of Texas employers opt out of the system.

If an employer does opt out and one of its emplo...(register to read more)

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