Which states are known as compulsory states for workers compensation insurance?

Compulsory states for workers' compensation insurance are those where employers are required by law to carry workers' compensation coverage for their employees. In the context of the choices provided, the correct answer indicates that all states, except for Texas and New Jersey, have compulsory workers' compensation laws.

In most states, having workers' compensation insurance is a legal requirement to protect employees who may be injured on the job, ensuring that they receive medical care and financial support during recovery. While 48 states and the District of Columbia have compulsory workers' compensation laws, Texas is unique as it does not mandate employers to carry this insurance—though many choose to do so. New Jersey does have compulsory coverage, but there are certain exceptions and nuances in its application that may lead to this confusion.

The other options do not accurately reflect the requirements pertaining to workers' compensation insurance across the states. The option that focuses solely on states with specific funding options or private insurance requirements does not address the broader landscape of compulsory state laws. This reinforces why the selection reflecting all states except Texas and New Jersey is correct; it captures the prevailing trend of legally mandated coverage across the majority of the country.