How does being a nonsubscriber differ from being a purchaser of workers compensation?
First, elimination of fraudulent claims, by employee or health provider, is generally easier as a nonsubscriber. If you purchase workers’ compensation, it is a violation of the law to force the employee to the doctor of your choice. As a nonsubscriber, no such prohibition exists. In fact, direction of employees is a key fraud-fighting tool. Second, as a subscriber you are prohibited from involving yourself in the claims process unless you are a qualified self-insurer in the State of Texas. As a non-subscriber, you may be as involved as you desire. Third, to deny a claim as a subscriber, the insurer must be able to prove the employee was not injured during the course and scope of employment. This is especially difficult on alleged non-witnessed injuries. As a nonsubscriber, the employee can be required to prove he was injured during the course and scope of employment. Fourth, employee benefits under workers’ Compensation are unchangeable. As a nonsubscriber, benefits can be tailored to
