What is a Texas non-subscriber?

Texas does not require most private employers to have workers’ compensation insurance coverage. Employers not providing workers’ compensation insurance coverage are referred to as non-subscribers. Non-subscribers lose important legal protections, including immunity from most lawsuits by injured employees.

What is a non-Subscriber case?

What is a non-subscriber? Many of Texas’s largest employers—like Wal-Mart, Home Depot, Sears, and Target—do not carry, or “subscribe to,” workers comp insurance. These companies are known as non-subscribers, and cases where workers are injured while working for non-subscribers are known as non-subscriber cases.

What defenses does the Nonsubscriber lose?

While the direct injury expenses are defined and limited by the employer’s ERISA plan (Federal jurisdiction) the negligence exposure will be addressed in State Court. The defenses lost to a nonsubscriber are: assumption of risk; contributory negligence; and, injury caused by a fellow employee.

Is Workers Comp mandatory in Texas?

Texas, unlike other states, does not require an employer to have workers’ compensation coverage. Subscribing to workers’ compensation insurance puts a limit on the amount and type of compensation that an injured employee may receive – the limits are set in the law.

What makes an employer a non subscriber in Texas?

About half of the employers in Texas choose not to “subscribe” to workers’ comp coverage, so they’re called “non-subscribers.” When an employer is a non-subscriber because they chose not to participate in the workers’ compensation system, their employees retain the right to sue them for work injuries.

What’s the difference between non subscriber and workers’comp?

Non-Subscribers Workers’ Injury Claims. On the opposite side of the coin from employers who subscribe to workers’ comp coverage, a non-subscriber is simply an employer who chooses not to purchase workers’ compensation insurance.

Who is covered by workers’compensation insurance in Texas?

For employers that provide workers’ compensation insurance coverage, Texas law limits the employer’s liability for work-related injuries of employees. Non-subscribers are not given these legal protections.

Do you have to be licensed to sell Workers Compensation Insurance in Texas?

A company must be licensed to provide workers’ compensation insurance. Texas law does not recognize insurance policies sold by unlicensed companies, including those legally selling surplus lines insurance.