What is the primary purpose of employers liability insurance in addition to workers compensation insurance?

The primary purpose of employers liability insurance, in addition to workers' compensation insurance, is to provide coverage for non compensable injuries. Workers' compensation typically covers workplace injuries and illnesses that are defined within the parameters of the law, but there can be situations where an injury may not be covered—such as cases of negligence or third-party claims. Employers liability insurance protects the employer against claims made by employees for injuries that do not fall under the traditional workers' compensation framework. This insurance can cover legal costs and settlements awarded in these types of claims, offering an essential layer of financial protection to employers.

Medical bills are covered under workers' compensation insurance, not specifically through employers liability insurance. Similarly, employers liability does not pertain to illegal employments or exempt employments, which are separate considerations in the context of workplace regulations and workers’ compensation laws.