A third-party claim is an attempt to pursue compensation from another individual or company, outside of the company where the employee works. This can sometimes be used in conjunction with a traditional workers’ comp claim.
For instance, say that a worker is injured by defective equipment on the job. Because they were working at the time of their injury, they may be able to start a workers’ comp claim to seek compensation for medical bills and a portion of their lost wages from their own employer. The employer has workers’ comp insurance that can help cover these costs.
But because the equipment was defective, that employee may also consider product liability laws and their options to sue the company that made the defective equipment. Perhaps there was a design defect or a manufacturing defect that means the company that made the equipment is also responsible for those injuries.
How does this affect an employer?
It depends on the specifics of the case, but there are situations in which an employer may also be able to benefit from a third-party claim. The employer may have the option to recover money that was paid out under the workers’ comp claim if it is demonstrated that the third party was actually responsible.
This does mean that a third-party case can become more complex. Many workers are simply looking into their short-term options to seek compensation for wages that they are actively missing or outstanding medical bills. But by looking at long-term solutions and considering all parties that may be responsible for the injury, they may actually be able to get a greater level of overall compensation.
During these complicated cases, it can be helpful to work with an experienced workers’ comp attorney.