Understanding Wisconsin’s Workers’ Compensation vs. Third Party Liability Claims

You were injured on the job, and workers’ comp is helping, but is it enough? And what if someone else was at fault?

For many injured employees, workers’ compensation is the first step toward recovery after being hurt. This no-fault system helps cover medical expenses and replaces part of your income, easing financial stress while you heal.

But workers’ comp doesn’t always cover the long-term impact of an injury. In some cases, a personal injury claim can provide additional compensation, but it’s not always obvious if that’s an option.

If you’ve been hurt on the job, understanding all your legal rights is essential to getting the full financial support you need.

Read on to learn the difference between these types of claims, when each applies, and how an experienced Appleton workers’ compensation lawyer can help you pursue the maximum award you deserve.

Wisconsin Workers’ Compensation: Benefits and Limitations

Wisconsin’s workers’ compensation system provides support for employees who are injured on the job. Most workers at businesses with three or more employees are covered, and you don’t need to prove your employer was at fault to receive benefits.

Covered benefits under Wisconsin’s system can include:

• Medical treatment
• Temporary or permanent disability payments
• Vocational rehabilitation in some cases
• Death benefits for families in fatal cases

However, workers’ comp has limitations. It won’t cover pain and suffering, emotional distress, or loss of enjoyment of life following severe injuries on the job. And because wage replacement tops out at 66.67% of your regular income, many families face a financial gap in their household budget.

Although the system aims to provide prompt and reliable support, it may not fully address the long-term consequences of a serious injury.

When Can You File a Third-Party Liability Claim?

An injury caused by someone other than your employer or a coworker could give you grounds to file a third-party claim. They allow you to hold third parties, like outside contractors or manufacturers, accountable when their negligence contributes to your accident.

Common third parties include:

• Subcontractors on a shared worksite
• Property owners who failed to maintain safe conditions
• Manufacturers of defective machinery or safety equipment
• Drivers who cause a collision while you’re working

For example, if a maintenance worker is struck by another vehicle while driving between job sites, they may have a personal injury claim against the at-fault driver. Similarly, a construction worker injured by a defective power tool could potentially sue the manufacturer.

Personal injury claims can also cover damages that aren’t available through the workers’ compensation system, such as:

• Medical costs, including future care needs
• Specialist care, such as neurology or pain management
• Full wage replacement and diminished earning potential
• Pain and suffering
• Mental anguish
• Loss of enjoyment of life

However, pursuing this type of claim requires proof that someone else’s negligence caused your injury. You need supporting evidence, like witness statements or accident reports, to show responsibility.

Can You File Both Claims?

In some cases, you can file for workers’ comp and bring a third-party personal injury claim. But pursuing both at the same time can be complicated.

Here’s why:

• Injury Disputes: The workers’ comp board may question whether your injury qualifies for benefits. A denial or delay can leave you covering costs out of pocket while your third-party case is still pending.

• Subrogation: If you receive a settlement from a third party, you may be required to repay some of your workers’ comp benefits. This helps prevent double compensation for the same costs, such as medical expenses or lost wages.

• Proving Fault: Third-party claims require evidence that someone else caused your injury. Establishing liability can be difficult if there are no witnesses, unclear records, or multiple parties involved.
  
• Conflicting Deadlines: Each claim has a different filing time limit. Workers’ comp allows up to six years (or 12 in some cases) post-accident, but personal injury claims must be filed within three years.

• Settlement Impact: One claim can impact the value of the other. For example, if you settle your personal injury case too early, you might end up with less than you need, especially if your condition worsens later or workers’ comp doesn’t cover certain costs.

An attorney who understands both systems can help you avoid costly mistakes and negotiate for the full compensation you deserve.

Why Legal Representation Matters

A workplace injury can leave you facing lost wages, rising medical bills, and uncertainty. At Brian Hodgkiss Injury Lawyers, we guide you through your legal options and help you take the right steps toward fair compensation.

Our experienced team can:

• Review your case to identify every possible third-party claim
• Document how the injury happened and who may be liable
• Track deadlines, paperwork, and required notices for each system
• Structure settlements to avoid unexpected setbacks or repayment demands

With a skilled attorney on your side, you can seek coverage for unpaid medical bills, hold a negligent third party accountable, or protect your settlement from being unfairly reduced by subrogation.

Get Fair Compensation After a Workplace Injury

A workplace injury can throw your life into chaos, but you’re not limited to workers’ comp alone. At Brian Hodgkiss Injury Lawyers, we help injured workers explore every legal option and fight to recover what they’ve lost.

Don’t settle for less. Call our law firm for a free, confidential consultation, and let us help you receive the full support you deserve.