Can My Employer Cancel My Health Insurance While on Workers' Comp in Texas?

Workers' compensation is designed to provide financial support and medical benefits to employees who are injured on the job. One concern that often arises is whether an employer can cancel an employee's health insurance while they are on workers' compensation in Texas. It is important to understand the rights and protections that employees have in such situations.

First and foremost, it is crucial to note that an employer cannot terminate an employee's health insurance out of spite or retaliation simply because they are on workers' compensation. Doing so would be a violation of the law and could have serious consequences for the employer.

However, there are certain circumstances in which an employer may lawfully terminate an employee's health insurance coverage while they are on workers' compensation. These circumstances typically involve situations unrelated to the employee's injury or workers' compensation claim.

For example, if an employee is terminated for reasons unrelated to their workers' compensation claim, such as poor performance or company-wide layoffs, their health insurance coverage may be terminated as well. In such cases, the termination of health insurance would be a result of the termination of employment, rather than a direct consequence of the workers' compensation claim.

It is also important to note that the continuation of health insurance coverage during a workers' compensation claim may be subject to the terms and conditions outlined in the employer's health insurance policy. Some policies may have specific provisions regarding the continuation or termination of coverage during a workers' compensation claim.

If an employer does terminate an employee's health insurance coverage while they are on workers' compensation, it can create significant challenges for the injured employee. Without health insurance, it may be difficult or even impossible to afford the necessary medical treatments and care related to their on-the-job injury.

In such cases, it is recommended that the employee consult with an experienced workers' compensation attorney who can provide guidance and assistance. An attorney can help determine whether the termination of health insurance coverage was lawful and, if necessary, take appropriate legal action to protect the employee's rights.

In conclusion, while an employer cannot cancel an employee's health insurance out of spite or retaliation while they are on workers' compensation in Texas, there are certain circumstances in which the termination of health insurance coverage may be lawful. It is important for employees to be aware of their rights and consult with legal professionals if they believe their rights have been violated.