In California, what is the difference between workers' compensation and state disability insurance benefits? Are employees who are injured on the job entitled to receive both?

Editor's  Note: For information related to COVID-19 workers' compensation claims, see Most California Employees with COVID-19 Presumed Covered by Workers’ Comp.

California state Disability Insurance (DI) pays a weekly benefit when an injury or illness is not caused by or related to work. The DI benefits are paid only for a temporary period of time. Workers’ compensation (WC) provides benefits to employees when their injury or illness arises out of or is caused by their work. WC may also pay medical bills and benefits for temporary or permanent disabilities.

If an employee is hurt at work, has an accumulative medical condition due to occupation or has an existing work-related medical condition that has become aggravated, the employee can file a DI claim but generally cannot receive both WC and DI benefits for the same period of time, except in limited situations. For example, DI benefits may be paid if the employer or employer’s WC insurance carrier denies or delays WC benefits. If the employee’s WC weekly benefit amount is less than the employee’s DI weekly benefit amount, the employee may be eligible to receive the difference. If DI does issue benefits while a WC case is pending, a lien will be filed to recover those benefits when the WC case is settled.

If it is unknown that an injury or illness is work-related, a physician/practitioner may be able to help determine the cause of the disabling condition. If a worker believes that a work-related disability occurred, it must be reported to the employer and a physician/practitioner's medical report must be submitted to the employer's workers' compensation insurance company.

If an employee, employer, and/or employer's workers' compensation insurance carrier disagree over issues regarding a workers' compensation claim contact the Department of Industrial Relation, Division of Workers' Compensation for information about the workers' compensation appeal process and your right to file an appeal.

Source: California Employment Development Department (EDD)