What is the primary purpose of "worker's compensation insurance"?

The primary purpose of worker's compensation insurance is to provide benefits for work-related injuries or illnesses. This type of insurance is specifically designed to support employees who suffer from injuries sustained in the course of their employment or who develop illnesses that are directly related to their work environment or job tasks. By offering medical benefits, rehabilitation, and wage replacement, worker's compensation helps ensure that injured employees receive the necessary care and support while they recover, thus facilitating their return to work. This system plays a crucial role in protecting both employees and employers; it ensures that employees do not suffer financial hardship due to a work-related injury, and it limits the liability of employers by providing a structured way to handle such claims.