Can You Sue Your Employer for a Workplace Injury in Indiana?

Workplace injuries happen every day in Indiana. From falls on construction sites to repetitive motion injuries in manufacturing facilities, workers across many industries encounter physical harm during their jobs. Injured employees often turn to the workers’ compensation system to receive medical care and partial wage replacement. But what if that system does not provide enough relief? What if someone believes the injury was preventable or caused by employer misconduct?

This blog by Klezmer Maudlin, PC, answers whether you can sue your employer for a workplace injury in Indiana, what the law allows, and when other legal options may apply. While most claims fall under workers’ compensation, some exceptions may give injured workers the right to pursue additional compensation through a civil lawsuit. Our workplace accident lawyers in Indianapolis can help you understand your legal options and determine the best path forward based on your circumstances.

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What Workers’ Compensation Covers—and What It Does Not

Indiana’s workers’ compensation system is designed to provide a structured, no-fault process for recovering certain benefits after a workplace injury. In this system, employees do not have to prove that anyone was at fault. In most circumstances, workers give up the right to file a lawsuit against their employer in exchange for this protection.

Covered benefits may include:

• Payment for authorized medical treatment
• Partial replacement of lost wages during temporary disability
• Permanent impairment benefits for lasting injuries
• Mileage reimbursement for travel to and from medical appointments
• Compensation for permanent total disability in some instances

However, workers’ compensation has limits. It does not compensate for pain and suffering or cover punitive damages. The amount of wage replacement is capped and does not reflect full income. If an injury results from negligence or wrongdoing, workers may feel the benefits do not match the harm suffered.

Some workers may also be denied benefits outright. If the employer disputes the injury or the insurance carrier refuses to authorize treatment, the worker must pursue an appeal. In these moments, workers often ask whether a lawsuit is possible.

What is The Exclusive Remedy Rule in Indiana?

Indiana law follows the “exclusive remedy rule,” which means that workers’ compensation is the only legal remedy available against an employer for a work-related injury—unless a narrow exception applies. This rule is codified in Indiana Code § 22-3-2-6.

The rule serves two purposes:

1. It protects employers from constant litigation by providing a predictable benefit system.
2. It ensures that workers can receive benefits without having to prove fault.

Once an injury is accepted as work-related, the worker is typically limited to the compensation provided under the Indiana Workers’ Compensation Act. This applies even if the employer’s negligence contributed to the incident. The exclusive remedy rule bars lawsuits for standard accidents that arise out of and during the course of employment.

This means that in most cases, employees cannot sue their employer for ordinary negligence. Even if the worker believes that better safety training, equipment maintenance, or hazard communication could have prevented the incident, the legal system directs these claims to workers’ compensation.

However, there are exceptions.

Exceptions to the Exclusive Remedy Rule

Although the exclusive remedy rule applies to most work injury claims in Indiana, there are limited situations where a lawsuit against an employer may be permitted. These are exceptions based on public policy, statutory interpretation, and court rulings. They include:

Intentional Harm by the Employer

Indiana courts have recognized an exception when an employer intentionally causes injury. This is not the same as gross negligence or reckless conduct. The threshold is much higher.

To pursue a lawsuit under this theory, the worker must show:

• The employer had actual knowledge that injury was sure to occur, and
• The employer willfully disregarded that knowledge.

This type of claim is rare and difficult to prove. It usually applies in cases where the employer ordered workers to perform known dangerous tasks with full awareness that serious harm would follow. For example, disabling safety mechanisms on machines and directing employees to use them regardless of known hazards may support such a claim if the harm was predictable and deliberate.

This standard was outlined in Indiana case law, including Kopka v. Bell Telephone Co., where the court clarified that proving intentional conduct requires more than showing an employer should have known an injury might happen.

Employer Does Not Carry Workers’ Compensation Insurance

Employers in Indiana are required by law to carry workers’ compensation insurance or be approved as a self-insured entity. If an employer fails to comply with this requirement and a worker is injured, the legal protections of the exclusive remedy rule do not apply.

In such cases, the injured worker may file a civil lawsuit to seek damages. The lawsuit is not limited to the benefits available under the compensation system and may include pain and suffering, full wage loss, and other damages permitted under Indiana tort law.

In certain circumstances, workers injured by uninsured employers may also file a claim with the Indiana Workers’ Compensation Board and seek recovery from the state’s second injury fund.

Retaliation Claims Related to Filing a Workers’ Compensation Claim

While not directly tied to the injury, retaliation by an employer after a workers’ compensation claim has been filed may give rise to a separate legal claim. If an employer fires, demotes, or otherwise discriminates against an employee because the employee sought benefits, the worker may have grounds for a wrongful termination lawsuit under Indiana law.

This type of claim is distinct from the injury claim. It focuses on employer conduct that violates public policy, rather than the injury event. Courts treat retaliation separately from workers’ compensation administration.

Pursuing legal action requires detailed documentation and legal analysis in all three exceptions. Workers considering these options should speak with legal counsel before initiating a lawsuit to determine whether their situation meets the narrow standards set by Indiana law.

What You Need to Prove in a Workplace Injury Lawsuit

Workplace injury lawsuits filed outside of the workers’ compensation system require a different level of evidence. In a civil lawsuit—whether against an employer under a legal exception or against a third party—the injured worker must prove fault. Unlike the no-fault structure of workers’ compensation, civil liability is based on legal responsibility and the concept of causation.

To succeed in a workplace injury lawsuit, the injured party must prove:

• The defendant owed a duty of care;
• The duty was breached through action or inaction;
• The breach directly caused the injury; and
• The injury resulted in actual damages.

Each element must be supported with evidence. For example, in a third-party negligence claim, a subcontractor’s failure to follow safety protocols may establish a breach of duty. Surveillance footage, witness statements, and OSHA investigation reports may help confirm what occurred.

In intentional harm cases, the standard is higher. The injured worker must prove that the employer knowingly engaged in conduct that was certain to result in injury. This requires more than showing poor training or negligent oversight. It demands evidence that the employer disregarded known risks with certainty of harm.

Independent medical evaluations, safety audits, internal memos, and coworker testimony may all contribute to the factual record. The strength of the evidence will determine whether the case proceeds past preliminary challenges or settles before trial.

When Suing May Be Worth Pursuing Over Workers’ Compensation Alone

Workers’ compensation provides structured benefits but limits recovery. Sometimes, a separate legal action may provide a more complete form of relief. This is especially true when:

• The injury results in permanent loss of earning capacity.
• The injured worker requires long-term medical care that is not fully covered.
• Pain, emotional trauma, or diminished quality of life are significant.
• The injury was caused by reckless conduct or outside third parties.

In these circumstances, the value of a lawsuit may exceed the predictable benefits available under the compensation system. Civil lawsuits allow for damages such as:

• Full lost wages (not just two-thirds);
• Loss of future income potential;
• Medical expenses beyond those approved by workers’ compensation;
• Pain and suffering;
• Loss of consortium in wrongful death or permanent disability cases.

However, civil claims also involve greater risk. They require time, evidence, and legal analysis. There is no automatic entitlement to benefits, and the outcome depends on the strength of the case. For this reason, workers considering a lawsuit should weigh potential compensation against the effort and legal standards involved.

How an Indiana Workplace Accident Attorney Can Help Evaluate Your Options

Legal representation can play a valuable role when determining whether a civil lawsuit is viable in addition to or instead of a workers’ compensation claim. An attorney will:

• Review the facts surrounding the injury;
• Analyze whether the employer’s conduct meets legal exceptions;
• Identify potential third-party defendants; 
• Evaluate available insurance coverage; and
• Explain how workers’ compensation benefits affect other recovery.

An experienced workplace accident lawyer in Indiana can request employment records and subpoena safety documentation, and consult with medical providers to build a case. In disputes involving independent contractors, equipment manufacturers, or property owners, legal analysis helps determine whether those parties can be held liable.

Legal counsel also ensures that deadlines are met. In Indiana, most personal injury lawsuits must be filed within two years of the date of injury. This deadline is separate from the deadline for the workers’ compensation application. Missing the statute of limitations may prevent the injured worker from pursuing legal recovery, regardless of the facts.

Coordination is essential when workers’ compensation and a third-party lawsuit are possible. An attorney can help structure the case so that benefits are not forfeited and lien issues are correctly addressed.

Contact an Indiana Workplace Attorney For Help

Indiana workers’ compensation law generally limits lawsuits against employers. Most injuries must be addressed through the benefits system, which covers medical care and partial wage replacement. However, legal exceptions exist. Additional legal action may be possible in cases of intentional misconduct, employer noncompliance, or third-party involvement.

If you were injured at work and believe your situation falls outside the standard compensation process, Klezmer Maudlin can help. Our attorneys evaluate whether a lawsuit is applicable, identify responsible parties, and ensure that all available avenues for compensation are explored.

For a free consultation, call (317) 569-9644 or complete the contact form on our website. A skilled Indianapolis personal injury lawyer will review your case, explain your legal options, and help you determine the best path forward based on Indiana law.

Frequently Asked Questions About Suing Your Employer After an Injury

Can I sue my employer if I have received workers’ compensation benefits?

In most cases, receiving workers’ compensation benefits prevents the need to file a separate lawsuit against the employer. Indiana law treats workers’ compensation as the exclusive remedy unless an exception applies, such as intentional harm or lack of insurance. However, a separate lawsuit may still be filed against a third party if that party was responsible for the injury.

What if my employer does not carry workers’ compensation insurance?

Employers in Indiana are required to maintain workers’ compensation coverage. If an employer fails to comply, the injured worker may file a lawsuit for damages in civil court. The lack of insurance removes the protections typically afforded under the exclusive remedy rule.

How do I know if a third party is responsible for my injury?

Third-party liability may exist when a person or company other than your employer caused or contributed to your injury. This may include contractors, vendors, property managers, or manufacturers. An attorney can review your jobsite, assignment, and circumstances to determine if another party may be held accountable.

What damages can I recover in a civil lawsuit?

In a civil injury case, damages may include full lost wages, future loss of income, medical expenses, pain and suffering, and permanent disability. These categories differ from workers’ compensation, which limits the amount and types of benefits available.

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