The Pennsylvania Workers’ Compensation Act (the act) provides employers subrogation rights, applicable where injured workers receiving workers’ compensation benefits recover for their work injuries but in a claim against a third party other than the employer. Employers may thus recover for benefits paid to or on behalf of an injured worker, where that injured worker has recovered from a third party. For example, the delivery driver who was working and injured while rear-ended by a negligent third party. The employer pays workers’ compensation benefits to the delivery driver, who makes a claim against the other driver. When the injured worker recovers a settlement or judgment due to the motor vehicle incident and the other driver’s negligence, the employer can then recover from those funds from the third-party case for workers’ compensation paid and payable.

There is a three-fold rationale for employers’ subrogation entitlements: to prevent a double recovery by the worker for the same injury, to ensure the employer is not compelled to make payments only made necessary by the act of a third party, and to prevent a third party from escaping liability for his own conduct. See Dale Manufacturing v. Bressi, 421 A.2d 653 (Pa. 1980).

This content has been archived. It is available through our partners, LexisNexis® and Bloomberg Law.

To view this content, please continue to their sites.

Not a Lexis Subscriber?
Subscribe Now

Not a Bloomberg Law Subscriber?
Subscribe Now

Why am I seeing this?

LexisNexis® and Bloomberg Law are third party online distributors of the broad collection of current and archived versions of ALM's legal news publications. LexisNexis® and Bloomberg Law customers are able to access and use ALM's content, including content from the National Law Journal, The American Lawyer, Legaltech News, The New York Law Journal, and Corporate Counsel, as well as other sources of legal information.

For questions call 1-877-256-2472 or contact us at [email protected]