Health · Chapter 16 · Social Insurance
Workers' Compensation
Definition
State-mandated liability insurance paying medical, disability, and survivor benefits for work-related injuries and occupational disease — wage-based up to a state maximum. Classifies disabilities as temporary or permanent, total or partial. It is PRIMARY for occupational losses: group DI and social insurance benefits coordinate with (are reduced by) it.
Exam tip
Benefits are generally income-tax free (except the offset when combined with SSDI).
Easy to confuse with
These are what this term gets tested against — if you can't tell them apart cold, drill the contrast.
Related terms