What type of insurance protects employers against claims for work-related injuries not covered by state laws?

Employers liability insurance is specifically designed to protect businesses against financial loss resulting from legal claims made by employees for work-related injuries that fall outside the scope of state workers' compensation laws. While workers’ compensation coverage provides benefits for employees injured on the job, employers liability insurance addresses additional exposure by offering coverage for instances where employees may sue the employer for negligence or other claims that are not covered by the workers' compensation program.

This type of insurance is essential because it covers legal defense costs, settlements, and judgments resulting from such claims. For example, if an employee feels that their injury was caused by unsafe working conditions and decides to bring a lawsuit claiming negligence, employers liability insurance would respond to that claim, filling the gap that workers' compensation does not cover.

Other types of insurance listed do not specifically cater to this protection. General liability insurance focuses on third-party claims for bodily injury and property damage, property insurance protects the business premises and tangible assets, and health insurance covers medical expenses for employees, but does not address legal liabilities arising from workplace injuries. This makes employers liability insurance the correct choice for protecting against claims for work-related injuries not addressed by state laws.