What is the primary purpose of workers compensation insurance?

Workers' compensation insurance is fundamentally designed to provide financial benefits to employees who suffer from injuries or illnesses that occur as a direct result of their job duties. This coverage ensures that workers receive compensation for medical expenses, rehabilitation costs, and a portion of lost wages while they are unable to work due to their condition.

The primary aim is to protect employees from the financial impact of work-related incidents, facilitating their recovery and return to work without the burden of extensive medical bills or loss of income. Additionally, this system promotes a no-fault approach, meaning that employees don't have to prove negligence or fault to receive their benefits, simplifying the process of claiming compensation.

Understanding this core function highlights the importance of workplace safety and the responsibility of employers to provide a secure working environment, which can ultimately reduce the likelihood of claims.