Who is typically responsible for ensuring coverage under workers' compensation when a business is not self-insured?

• A. Employee
• B. Employer
• C. Insurance regulator
• D. Third-party administrator

Answer: (B)

In workers' compensation, the employer carries the legal obligation to provide coverage for employees. When a business isn’t self-insured, the employer fulfills this duty by purchasing workers’ compensation insurance from a private insurer or a state fund. The insurer issues the policy and pays benefits to injured workers under the terms of that policy and applicable law, but the responsibility to obtain and maintain that coverage rests with the employer. A third-party administrator may handle claims processing and administrative duties under contract with the insurer, but it does not create or guarantee coverage. The insurance regulator oversees compliance with the law, not the day-to-day provision of coverage. The employee does not bear the responsibility to secure coverage.