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Insurance
9/29/2008 9:38:32 AM EST
Stuart D. Colburn
More Texas Employees Are Not Covered by Workers' Compensation
Shareholder, Downs Stanford, PC

Beginning in 1993, Texas periodically conducts a survey that tracks the percentage of Texas employers who choose workers' compensation insurance. Texas is the only state that does not mandate all employers to carry workers' compensation insurance for the benefit of its workers.

According to the 2008 survey, 33% of Texas employers choose not to purchase workers' compensation insurance. (Of those employers, 48% did not offer any type of occupational benefits.) In 2006, 37% chose non-subscription.

If the numbers are accurate, more employers are choosing workers' compensation. However, this is only half the story. In 2008, 25% of all employees are not covered by workers' compensation. This is the highest number of employees who do not benefit from workers' compensation protections. These statistics support anectodal evidence that larger employers are choosing to leave the workers' compensation system at higher rates.

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