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Third-Party Claims and Workers' Compensation in North Carolina

Third-Party Claims and Workers' Compensation in North Carolina

Key Takeaways

  • Some injured workers can pursue both workers’ compensation and a third-party personal injury claim when someone other than their employer or co-worker caused the workplace accident.
  • Third-party claims may provide compensation unavailable through workers’ compensation, including pain and suffering, full lost wages, future earning capacity, and other damages.
  • Workers’ compensation is a no-fault system, while third-party claims require proving negligence by another person, company, property owner, contractor, or manufacturer.
  • Common third-party workplace injury cases include vehicle accidents, defective equipment, unsafe job sites, negligent subcontractors, and hazardous property conditions.
  • North Carolina workers’ compensation insurers may have subrogation rights, but an experienced attorney may be able to negotiate or reduce reimbursement obligations.
  • Handling both claims together helps maximize total financial recovery by identifying every liable party, preserving evidence, coordinating insurance claims, and protecting your legal rights.

Not every workplace injury results in just a workers’ compensation claim. If someone other than your employer or a co-worker played a role in the workplace accident that hurt you, you might also have what is referred to as a “third-party claim”.

A successful personal injury claim against a non-employer third party could open the door to significantly more compensation than workers’ compensation alone can provide. However, unlike the no-fault workers’ compensation system, third-party personal injury claims require proving negligence.

The attorneys at Kornbluth Ginsberg Law Group, P.A., can help you understand your rights and pursue the full recovery you deserve from every available source after an on-the-job accident. We help injured workers in Durham, Sanford, and throughout North Carolina.

Contact us online today or 24/7 at 919-980-9895 for a free consultation with an experienced workplace injury attorney at our law firm.

What Is a Third-Party Workplace Injury Claim?

A third-party claim is a personal injury lawsuit filed against someone other than your employer or co-workers after a work-related injury. While workers’ compensation is a no-fault system, meaning you do not have to prove anyone was careless to receive benefits, a third-party claim works differently. It requires showing that another individual or company acted negligently and that their actions led to your injury.

For example, if a delivery driver runs a red light and hits you while you are working, the driver or their employer could be the subject of a third-party claim. If a piece of equipment breaks down because the manufacturer cut corners on safety, the manufacturer might be a third party that is responsible for your injuries and losses in a product liability claim.

One of the key differences is this: Workers’ comp provides limited benefits, while third-party claims can allow you to seek a much broader range of compensation, including full replacement of lost income and pain and suffering damages.

When Can You Have Both a Workers’ Compensation and a Third-Party Claim?

Many injured workers do not realize they can pursue workers’ comp benefits and a third-party lawsuit at the same time under the Workers’ Compensation Act. Third-party personal injury claims and workers’ compensation claims are two separate legal paths, and one does not cancel out the other.

You may have a third-party workplace injury claim if, for example:

  • A careless driver caused a crash while you were on the clock.
  • A subcontractor or another company’s employee created an unsafe condition at your worksite.
  • A property owner failed to fix a known hazard where you were performing work.
  • A manufacturer produced defective tools, machinery, or safety equipment.
  • A maintenance company failed to properly service or inspect the equipment you were using.
  • If you are injured at an off-site facility and are injured by the negligence of one of their employees.

If any of these situations sound familiar, you could have both a workers’ compensation case and a separate personal injury claim.

What Compensation May Be Available Beyond Workers’ Compensation?

Workers’ compensation benefits in North Carolina generally cover medical treatment and a portion of your average weekly wages – typically two-thirds, up to a statewide cap. While workers’ compensation benefits are helpful, they come with limits. Workers’ compensation does not compensate you for pain and suffering, emotional distress, or the full amount of income you have lost.

Together, a third-party lawsuit and a workers’ compensation claim can significantly change the picture.

Through a successful third-party claim, you may be able to recover:

  • Full lost wages – Workers’ compensation typically covers only part of what you lost, but a third-party claim can seek the total amount.
  • Pain and suffering – The physical pain and emotional toll of a serious injury can be substantial, and a third-party claim allows you to seek this type of recovery.
  • Loss of earning capacity – If the injury affects your ability to earn a living in the future, a third-party claim can account for the full amount of the long-term loss.
  • Future medical costs – Treatment needs that extend well beyond the initial recovery period can be included in a third-party claim.

That is why it matters to look beyond workers’ compensation alone after any on-the-job injury. A third-party personal injury claim can make the difference between partial relief and a recovery that truly reflects the harm you’ve suffered.

How Third-Party Lawsuits and Workers’ Comp Benefits Interact in North Carolina

North Carolina law does not prevent someone on workers’ compensation from also pursuing a third-party claim, but the two claims can affect each other in important ways. The most significant of these involves a process called subrogation.

Subrogation gives your employer’s workers’ compensation insurance carrier the right to seek reimbursement for the costs of paying your claim from any money you recover through a third-party settlement or verdict. In other words, if workers’ compensation paid for your medical treatment and partial wage-loss benefits, the carrier may be entitled to get the money back once the third-party case resolves.

That being said, the reimbursement costs owed back to the workers’ compensation carrier can be negotiated down between the parties or even eliminated by a Superior Court Judge. An experienced workers’ compensation attorney can fight to get you the best result possible and maximize your recovery in both the workers’ comp claim and the personal injury claim.

That does not mean it is not worthwhile to pursue a third-party claim. It absolutely is in most cases, since third-party claims can provide compensation for losses not covered by workers’ compensation alone. It does mean that our experienced attorneys should be involved early in the process.

We know how to coordinate both claims and work to reduce the subrogation amount whenever possible. That might allow you to keep a larger share of your third-party recovery than you might expect.

Challenges That Can Affect a Third-Party Workplace Injury Claim

Third-party claims and workers’ compensation cases can be more complex than a standard personal injury lawsuit.

Some of the challenges injured workers face include:

  • Identifying all responsible parties – Certain workplaces, like construction sites and industrial facilities, involve many different contractors, equipment suppliers, and property owners. It takes a thorough investigation to determine which parties may be at fault.
  • Preserving evidence quickly – Conditions at a job site can change rapidly after an accident, and critical evidence like equipment, safety logs, and witness accounts must be secured as soon as possible.
  • Meeting filing deadlines – North Carolina generally requires personal injury claims to be filed within three years of the date of injury, and wrongful death claims must be filed within two years of the date of death.
  • Dealing with multiple insurance companies – Each party may have its own insurer, and multiple policies might cover a single incident. Coordinating among the different policies adds another layer of complexity.

Such challenges make it especially important to work with the attorneys at Kornbluth Ginsberg who understand both workers’ compensation and personal injury law.

How Our Attorneys Can Help Maximize Recovery in Dual Claims

At Kornbluth Ginsberg, our attorneys regularly handle both workers’ compensation and personal injury cases, which puts us in a strong position to manage the intersection of the two types of claims. Let us investigate the circumstances of your injury, identify all potentially responsible parties, and build a strategy designed to maximize your total recovery.

We believe in treating every client the way we would want to be treated, with honesty, respect, and a commitment to fighting for the best possible outcome. We collect a fee only if we recover compensation for you.

Contact a North Carolina Attorney About Third-Party Workplace Accident Claims

If you were hurt on the job and believe someone other than your employer may share responsibility, do not assume workers’ compensation is your only option. A third-party personal injury claim could significantly expand the compensation available to you.

Kornbluth Ginsberg serves injured workers throughout North Carolina from our offices in Durham and Sanford. Call us 24/7 at 919-980-9895 or contact us online today for a free consultation.