What Is Workers' Compensation?

Workers’ compensation insurance (also known as Industrial Insurance) provides wage replacement and medical benefits to workers injured on the job. Workers’ compensation is no-fault insurance, which means in most cases your business cannot be sued when a work-related injury or illness occurs.

If you have workers, whether they are employees or independent contractors, you might be required to provide workers’ compensation. To check if your workers should be covered go to Independent Contractors for more information.

Private workers’ compensation?

Washington State does not allow private workers' compensation coverage. You must purchase your coverage from L&I or be a certified self-insured employer. Learn more about Self-Insurance.

What does workers' compensation pay for?
  • Approved medical, hospital, and related services due to workplace injuries or occupational illnesses
  • Partial wage replacement for those who are unable to work because of their injuries or occupational illnesses

Employers purchase workers’ compensation through L&I

Employers submit quarterly reports and premium payments based on their industry and workers’ hours. Just like other types of insurance, claims are paid for by premiums collected. Learn How to Get a Workers’ Compensation Account.