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Surveying FS

Category - Law & Business

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Which of the following statements is NOT true with regards to Worker’s Compensation?
  1. Worker’s Compensation is a form of insurance that provides lost wage payments and medical benefits to employees who are injured while on the job.
  2. Employees receiving worker’s compensation have the right to sue their employer for negligence under the common law.
  3. Worker’s Compensation programs are administered on a state-by-state basis.
  4. None of the above
Explanation
Answer: B - The statement “Employees receiving worker’s compensation have the right to sue their employer for negligence” is NOT true. Employees who are receiving worker’s compensation have relinquished their rights to sue their employers under the common law for negligence. However, an employee receiving worker’s compensation retains the right to sue a third party whose negligence either caused or contributed to the employee’s injury.
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