Why Many Texas Employers Don’t Carry Workers’ Comp—and What Injured Workers Can Do About It

Texas is unique because it doesn’t require private employers to carry workers’ compensation insurance. Unlike most other states, companies in Texas can legally opt out of the state’s workers’ comp system, leaving many injured employees confused and vulnerable when an on-the-job injury occurs.

Our Houston personal injury attorneys at Hollingsworth Law Firm want to help these workers because understanding their rights and legal options is critical.

Texas Is a “Non-Subscriber” State: What That Means

In Texas, employers can subscribe to the state’s workers’ compensation system or operate as “non-subscribers.” While subscription provides employees with no-fault benefits and limits employer liability, non-subscriber employers give up those protections. This means that if a non-subscriber’s negligence causes an employee’s injury, the company can be sued directly and held fully accountable in court.

Many Texas employers opt out of the system to save money, but doing so exposes them to potential lawsuits, especially if they lack proper safety procedures or fail to provide a safe workplace.

What Happens If Your Employer Doesn’t Carry Workers’ Comp?

If you’re injured and your employer is a non-subscriber, you won’t be able to file a traditional workers’ compensation claim. Instead, you may have the right to file a personal injury lawsuit against your employer.

These claims differ from standard workers’ comp cases in key ways:

• You can seek a broader range of damages, including pain and suffering, loss of earning capacity, and future medical costs.
• You must prove that the employer’s negligence contributed to your injury.
• Your employer cannot defend the case by claiming you were partially at fault or assumed the risk of injury—common defenses in other states are not available to non-subscribers in Texas.

How to Know If Your Employer Is a Non-Subscriber

Many workers don’t find out their employer is a non-subscriber until after an injury happens.

To protect yourself:

• Ask your employer directly whether they carry workers’ comp coverage.
• Check for notices or documents provided during onboarding or displayed in the workplace.
• Search the Texas Department of Insurance’s database of non-subscriber employers.

If you are unsure, our experienced Houston attorneys can help you determine your employer’s status and advise you on the next steps.

What Injured Workers Should Do After an On-the-Job Injury

Regardless of your employer’s status, take the following steps immediately after a workplace injury:

• Report the injury in writing to your supervisor.
• Seek medical attention right away and keep all documentation.
• Avoid signing any forms or waivers before speaking to an attorney.
• Contact our Houston personal injury lawyers who have experience handling non-subscriber claims.

How Hollingsworth Law Firm Helps Injured Texas Workers

At Hollingsworth Law Firm, we understand the challenges injured workers face when their employers opt out of workers’ comp coverage. Our attorneys investigate the circumstances of your injury, identify employer negligence, and build a strong case to pursue maximum compensation.

If you’ve been injured at work and are unsure of your rights, don’t navigate the process alone. Contact Hollingsworth Law Firm today at 713-637-4560 or online for a free consultation. We may be able to help you hold your employer accountable and get the recovery you deserve.