Virginia Property and Casualty Practice Exam

Worker's compensation insurance primarily provides benefits for employees who suffer from work-related injuries or illnesses. This type of coverage is designed to protect workers by offering financial assistance for medical expenses, rehabilitation costs, and a portion of lost wages due to the inability to work following a workplace incident or exposure to hazardous conditions.

The structure of worker's compensation insurance ensures that employees receive the necessary support when they are injured on the job, without the need to engage in litigation against their employer. This system not only aids injured workers but also provides employers with protection against lawsuits related to workplace incidents.

Other options, while they provide important benefits in their respective contexts, do not align with the purpose of worker's compensation. Life insurance benefits for dependents, health insurance for family members, and retirement benefits for long-term employees address different aspects of employee welfare and do not fall under the scope of worker's compensation, which is specifically focused on work-related injuries and illnesses.

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