Workers Comp in Phoenix — What You Need to Know

If you’ve been injured on the job in Arizona, workers’ compensation is designed to cover your medical expenses and a portion of your lost wages — regardless of who was at fault. But navigating the system is rarely straightforward, and employers and their insurance carriers don’t always play fair.

How Workers’ Comp Works in Arizona

Arizona requires most employers to carry workers’ compensation insurance. When you’re injured at work, you report the injury to your employer, who files a claim with their workers’ comp insurer. The insurer then decides whether to accept or deny the claim.

If accepted, workers’ comp covers all reasonable and necessary medical treatment related to your injury, temporary disability benefits (about two-thirds of your average monthly wage) while you can’t work, permanent disability benefits if you have lasting impairment, and job retraining if you can’t return to your previous position.

What Workers’ Comp Does NOT Cover

Workers’ comp benefits have significant limitations. You cannot recover pain and suffering damages through workers’ comp. You also can’t recover full lost wages — only about 66% of your average monthly pay, subject to a statutory cap. And you generally cannot sue your employer for a workplace injury if they carry workers’ comp insurance. The trade-off is that you get benefits without having to prove fault, but you give up the right to a full civil lawsuit against your employer.

When You CAN Sue Beyond Workers’ Comp

There are important exceptions where you may have a claim beyond workers’ comp:

Third-party liability. If someone other than your employer or co-worker caused your injury — a negligent driver who hit you while you were working, a subcontractor on a construction site, or a defective product that malfunctioned — you can file a personal injury lawsuit against that third party AND collect workers’ comp benefits.

Employer intentional conduct. If your employer intentionally caused your injury or deliberately removed safety guards from equipment, you may be able to sue outside of workers’ comp.

No insurance. If your employer illegally failed to carry workers’ comp insurance, you can sue them directly in civil court for the full range of damages including pain and suffering.

Common Reasons Claims Get Denied

Workers’ comp claims are denied more often than people expect. Common reasons include the employer disputes that the injury happened at work, the insurer claims the injury is pre-existing, you didn’t report the injury promptly, you missed medical appointments or didn’t follow treatment plans, and the insurer’s doctor disagrees with your doctor about the severity of your injury.

The Independent Medical Examination (IME)

At some point, the insurance company will likely send you to a doctor of their choosing for an “independent” medical examination. These doctors are paid by the insurance company and their reports frequently minimize your injuries. Having an attorney who understands the IME process and can challenge unfavorable reports is critical.

Don’t Navigate This Alone

Workers’ comp is a specialized area of law with its own rules, deadlines, and procedures. If your claim has been denied, your benefits have been cut off, or you believe a third party was responsible for your workplace injury, the Law Badgers can help you understand your options and fight for the benefits you’re entitled to.