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In most states, workers' compensation insurance is compulsory. Only in New Jersey and Texas is it elective. When compulsory, every employer subject to it is required to comply with the law's provisions for the compensation of work injuries. The law is compulsory for the employee also. When elective, the employers have the option of either accepting or rejecting the law...
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The law is compulsory for the employee also. When elective, the employers have the option of either accepting or rejecting the law. If they reject it, they lose the customary common law defenses ? assumed risk of employment, negligence of a fellow servant, and contributory negligence.
Workers' compensation laws typically provide that injured employees will be paid a disability benefit that is usually based on a percentage of their wages...
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