WorkersBefore you calculate anything in Texas, answer one question first: does your employer even carry workers' comp? Texas is the only state in the country where the answer can legitimately be no — and which answer you get sends you down two completely different legal paths.
Path One: Your Employer Subscribes
Most Texas employers still carry coverage voluntarily. If yours does, the math is fairly standard: 70% of your Average Weekly Wage for the first 26 weeks of Temporary Income Benefits — a higher starting rate than the 66.67% most states use — capped at $1,084/week in 2026. The benefit rate steps down slightly after week 26 if you're still recovering. Coverage is valid for 2 years from your injury date, shorter than the 3-year window common elsewhere.
Path Two: Your Employer Is a "Non-Subscriber"
Employers who opt out are called non-subscribers, and Texas law lets them do this with almost no restriction. If you work for one, there is no standard workers' comp claim to file — but you are not without recourse. Losing workers' comp coverage also strips the employer of the legal protections that normally come with it (immunity from lawsuits, caps on damages), which opens the door to a direct negligence lawsuit.
| Subscriber (Standard WC) | Non-Subscriber | |
|---|---|---|
| How you claim | Administrative WC claim | Civil lawsuit for negligence |
| Pain & suffering | Not covered | Recoverable |
| Fault required | No — no-fault system | Yes — must prove negligence |
| Damage caps | Statutory caps apply | Generally uncapped |
⚠️ Check first, not last. Look for a workers' comp poster at your workplace or ask HR directly. Which path you're on determines your entire legal strategy from day one — filing the wrong type of claim can cost you time you don't get back.
What to Do If You're a Non-Subscriber Employee
- Get medical treatment and documentation immediately — a negligence claim depends heavily on records connecting the injury to unsafe conditions.
- Preserve evidence of the hazard: photos, equipment logs, prior complaints about the same condition.
- Identify witnesses before memories fade — negligence claims are contested more aggressively than no-fault WC claims.
- Consult an attorney early. Non-subscriber cases are civil litigation, not administrative claims, and Texas has no fee cap comparable to standard WC representation.
Impairment Income Benefits — How the Math Works
Once you reach maximum medical improvement under a subscribed employer's policy, a designated doctor assigns an impairment rating. Texas converts that rating into Impairment Income Benefits at a fixed formula: 3 weeks of benefits per percentage point of impairment.
Workers whose impairment rating exceeds 15% may separately qualify for Supplemental Income Benefits, an ongoing quarterly benefit on top of the Impairment Income Benefit weeks — but only if they meet Texas's active work-search requirements each qualifying period.
Frequently Asked Questions
Can my employer opt out of workers' comp in Texas?
Yes — Texas is the only state that permits this. If your employer is a non-subscriber, you may be able to sue directly for negligence instead of filing a standard claim.
How much does Texas workers' comp pay?
70% of your Average Weekly Wage for the first 26 weeks, capped at $1,084/week in 2026, for subscribed employers. Rates adjust after that period based on your recovery status.
How do I know if my employer subscribes to workers' comp?
Check for a required workers' comp coverage poster at your workplace, or ask HR directly. Texas requires subscribing employers to post this notice.
How are Impairment Income Benefits calculated?
At 3 weeks of benefits per percentage point of your impairment rating, assigned by a designated doctor once you reach maximum medical improvement.
Get a personalized estimate using your actual wage, injury type, and severity.
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