How is workers' compensation typically funded?
A)by a tax levied by state governments based on size of payroll
B)by a pool of organizations in the same industry
C)through the Social Security Administration
D)by insurance purchased from a private carrier or state insurance fund

Question

Quizplus · Accepted Answer

Workers' compensation is typically funded through insurance purchased from a private carrier or state insurance fund. Employers are required by law to provide workers' compensation insurance to their employees, which helps cover medical expenses and lost wages in the event of a work-related injury or illness. Employers can choose to purchase insurance from a private company or through their state's workers' compensation insurance program.

How Is Workers' Compensation Typically Funded