# Workers' compensation

> Workers' compensation pays medical care and part of lost wages to workers hurt on the job, usually whoever was at fault. How it fits with a crash claim.

Canonical page: https://accidentclaimfacts.com/glossary/workers-compensation/  
Last reviewed: October 29, 2026 by the Accident Claim Facts editorial team  
General information, not legal advice. Talk to a licensed attorney in your state.

## Quick answer

Workers' compensation is a state system that pays medical care and part of lost wages to employees hurt or made ill on the job. Benefits usually do not depend on who was at fault. In exchange, workers generally cannot sue their own employer for the injury.

## In a car accident claim

Workers' comp comes in when you are hurt in a crash while working: driving a delivery route, traveling between job sites or running an errand for your employer. Your employer's workers' comp coverage pays the benefits set by state law.

Two rules shape the claim. First, workers' comp is usually the only remedy against your own employer. In Texas, for example, workers' compensation benefits are the exclusive remedy against an employer that has workers' comp coverage, apart from limited exemplary damages in some death cases. Second, if another driver caused the crash, you can usually also bring a claim against that driver, a third-party claim, because workers' comp does not pay for everything, such as pain and suffering. In Texas, an injured worker can claim workers' comp benefits and also seek damages from a third party, and the carrier can be repaid from that recovery for the benefits it paid.

States differ in who must carry coverage; in Texas, private employers can choose to carry workers' comp insurance, but it is not required in most cases. The guides to [company vehicle accidents](https://accidentclaimfacts.com/accidents/company-vehicle-accidents/), [who pays medical bills](https://accidentclaimfacts.com/money/who-pays-medical-bills/) and [lost wages](https://accidentclaimfacts.com/money/lost-wages/) explain how the benefits and the crash claim fit together.

## Example

> **Example:** A home health aide driving between patients' homes is rear-ended by another driver. The aide's employer's workers' comp carrier pays the medical bills and part of the lost pay. The aide also brings a claim against the at-fault driver for losses workers' comp does not cover, and the carrier is repaid from that recovery for what it paid.

## Related terms

- [Subrogation](https://accidentclaimfacts.com/glossary/subrogation/)
- [Impairment rating](https://accidentclaimfacts.com/glossary/impairment-rating/)
- [Maximum medical improvement](https://accidentclaimfacts.com/glossary/maximum-medical-improvement/)
- [Respondeat superior](https://accidentclaimfacts.com/glossary/respondeat-superior/)

## FAQ

### Does workers' comp pay for pain and suffering?

No. Workers' comp pays medical care and part of lost wages under fixed state rules. Pain and suffering is not part of it, which is one reason a claim against an at-fault driver can still matter.

### Can you get workers' comp and sue the other driver?

In many cases, yes. Workers' comp pays its benefits, and you can claim the rest from the at-fault driver. The workers' comp carrier usually has a right to be repaid from that recovery.

## Sources

- [Cornell Law School, Legal Information Institute, Workers' compensation](https://www.law.cornell.edu/wex/workers_compensation) — what workers' compensation laws do and how they limit suits against employers
- [Texas Legislature, Labor Code § 408.001](https://statutes.capitol.texas.gov/Docs/LA/htm/LA.408.htm#408.001), checked October 29, 2026
- [Texas Legislature, Labor Code § 417.001](https://statutes.capitol.texas.gov/Docs/LA/htm/LA.417.htm#417.001), checked October 29, 2026
- [Texas Department of Insurance, Division of Workers' Compensation, Employer resources](https://www.tdi.texas.gov/wc/employer/index.html), checked October 29, 2026