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What is the difference between DI and workers’ compensation?

| Sep 12, 2020 | Workers' Compensation |

In California, if you are injured on the job, you may be able to collect workers’ compensation if the injury prevents you from returning to work. You may have heard someone talking about an injury or disability that they sustained outside of the workplace and how they are collecting on those benefits. In such instances, it is actually Disability Insurance that they are being paid.

Disability benefits are different from workers’ compensation, and typically you cannot get paid both at the same time.

Workers’ compensation

The California Employment Development Department states that if a work-related disability occurred, you must report it to your employer as soon as possible, and you need to send the workers’ compensation insurance company your physician’s medical report after you have been examined. If your injury or disability is not work-related but still affects your ability to work, you may be eligible for disability benefits.

Disability insurance

Sometimes, even if your injury was sustained at work, you may be denied a workers’ compensation claim. In such cases, you may still be eligible to receive disability benefits.

Sometimes there is some crossover. For instance, if a preexisting disability was aggravated by your activities on the job, you may be eligible to receive both forms of benefits, however, you cannot collect on both at the same time. In these cases, you may be able to collect the higher of the two payments or get paid out the difference if you are receiving the lower amount of compensation.

Whereas workers’ compensation is determined by your employer’s insurance provider, disability benefits are managed by your state’s state disability insurance program.