Suffering a work injury can turn your life upside down in an instant. Medical bills pile up, time away from work creates financial stress, and the recovery process can be physically and emotionally exhausting. Most injured workers know they may be eligible for workers’ compensation benefits, but far fewer realize that a third-party claim may also be available in certain situations. Understanding how third-party claims work—and how they interact with workers’ compensation—is critical to protecting your full legal rights.
At Pacific Workers', The Lawyers for Injured Workers, our work compensation lawyer helps injured workers explore every possible path to recovery, including third-party claims when another party’s negligence played a role in the injury.
What Is a Third-Party Claim in a Work Injury Case?
Workers’ compensation is a no-fault system, meaning you can typically receive benefits regardless of who caused the accident—as long as it happened in the course and scope of your employment. However, workers’ compensation generally limits what you can recover, covering medical treatment and a portion of lost wages but not pain and suffering.
A third-party claim is a separate personal injury lawsuit filed against someone other than your employer whose negligence contributed to your work-related injury. Unlike workers’ compensation, third-party claims require proof of fault—but they also allow for significantly broader compensation.
Common Examples of Third-Party Work Injury Claims
Third-party claims often arise in industries where workers regularly interact with the public, equipment manufacturers, contractors, or off-site locations. Common examples include:
- Construction site accidents involving negligent subcontractors, property owners, or equipment suppliers
- Motor vehicle accidents caused by another driver while you were working
- Defective equipment or machinery resulting from poor design or manufacturing defects
- Premises liability incidents, such as slips and falls at job sites owned by someone other than your employer
- Negligent security or unsafe property conditions at client or customer locations
In each of these situations, workers’ compensation may apply—but it may not be the only option.
How Third-Party Claims Differ from Workers’ Compensation
Understanding the differences between workers’ compensation claims and third-party lawsuits is essential:
Workers' Compensation:
- No need to prove fault
- Limited benefits
- Covers medical bills & partial wages
- Filed through the employer's insurer
Third-Party Claim:
- Must prove negligence
- Full personal injury damages
- Covers medical bills, full lost wages, pain and suffering
- Filed as a civil lawsuit
In many cases, both claims can proceed at the same time, but the coordination between them must be handled carefully.
Can You File Both a Workers’ Comp Claim and a Third-Party Lawsuit?
Yes—in many situations, you can pursue both. Workers’ compensation typically serves as the first layer of financial support, while a third-party claim may provide additional compensation for losses that workers’ comp does not cover.
However, there is an important legal concept called subrogation. If you recover compensation from a third party, your employer’s workers’ compensation insurer may have the right to be reimbursed for benefits it already paid. An experienced work compensation lawyer can often negotiate this lien to maximize the amount you ultimately keep.
Compensation Available Through a Third-Party Claim
Unlike workers’ compensation, third-party claims allow injured workers to pursue full damages, which may include:
- Past and future medical expenses
- Full lost wages and loss of earning capacity
- Pain and suffering
- Emotional distress
- Permanent disability or disfigurement
- Loss of enjoyment of life
These additional damages can make a life-changing difference, especially for workers who suffer serious or long-term injuries.
Why Legal Representation Matters in Third-Party Work Injury Claims
Third-party claims are often more complex than standard workers’ compensation cases. They may involve multiple defendants, insurance companies, and legal deadlines. Evidence must be preserved, fault must be established, and the interaction between claims must be handled strategically.
Insurance companies for third parties are rarely eager to pay full value. They may argue that your employer—or even you—were at fault. Having a knowledgeable lawyer on your side helps level the playing field and protects you from costly mistakes.
When Should You Talk to a Work Compensation Lawyer?
If your work injury involved anyone other than your employer—another driver, a contractor, a property owner, or a manufacturer—it’s a good idea to speak with a lawyer as soon as possible. Early legal guidance can help preserve evidence, identify all liable parties, and ensure no deadlines are missed.
Contact us to talk with our team about your work injury and learn what additional rights you may have.