What is the primary purpose of workers compensation insurance?

The primary purpose of workers' compensation insurance is to assist employees who are injured on the job. This type of insurance provides financial and medical benefits to workers who sustain injuries or illnesses related to their employment. The benefits include medical expenses coverage, wage replacement, and rehabilitation costs, ensuring that employees are supported during their recovery.

Workers' compensation is vital for maintaining the financial stability of workers while they are unable to work due to their injuries. It also protects employers from lawsuits related to workplace injuries, as employees typically waive their right to sue in exchange for the benefits provided under workers' compensation policies. By focusing on the well-being of injured workers, this insurance plays an essential role in promoting safety and health in the workplace.