What type of insurance covers work-related injuries?

What type of insurance covers work-related injuries?

• A. Health Maintenance Organization
• B. Self-Insurance
• C. Liability Insurance
• D. Workers' Compensation

Answer: (D)

Work-related injuries are covered by workers' compensation. This insurance is designed specifically to provide medical care and wage replacement for employees who are injured on the job, and it is typically required by state law. It operates on a no-fault basis, meaning the employee doesn’t have to prove fault, and it protects the employer from most related lawsuits while ensuring prompt, standardized benefits. Other options don’t fit as neatly: a health maintenance organization is a general health plan for overall medical care, not workplace-specific coverage; self-insurance is when an employer funds claims themselves rather than buying a policy; liability insurance covers damages or injuries to other people or property caused by the insured, not injuries to employees on the job.

Work-related injuries are covered by workers' compensation. This insurance is designed specifically to provide medical care and wage replacement for employees who are injured on the job, and it is typically required by state law. It operates on a no-fault basis, meaning the employee doesn’t have to prove fault, and it protects the employer from most related lawsuits while ensuring prompt, standardized benefits.

Other options don’t fit as neatly: a health maintenance organization is a general health plan for overall medical care, not workplace-specific coverage; self-insurance is when an employer funds claims themselves rather than buying a policy; liability insurance covers damages or injuries to other people or property caused by the insured, not injuries to employees on the job.