An employee is injured at work when a delivery driver from an unrelated company runs a red light and hits him. The WC insurer pays his medical bills and disability. What right does the insurer have against the at-fault driver?
a.Subrogation — the insurer may step into the employee's shoes and sue the third-party driver to recover what it paid
b.The insurer may double-bill both the driver and the employee
c.The insurer must wait until the employee dies before pursuing any recovery
d.None — workers' compensation is the exclusive remedy and forecloses any recovery from third parties
Explanation
Workers' compensation is the exclusive remedy against the EMPLOYER, not against unrelated third parties. Labor Code §3852 lets the WC insurer subrogate against the third party who caused the injury and recover what it paid in benefits, either by filing its own action, joining the employee's lawsuit, or asserting a lien on the employee's recovery.
Law Reference: Cal. Labor Code §3852 (subrogation)This topic, taught in full in the California Property & Casualty Broker-Agent guide. California Property & Casualty Broker-Agent Study Guide — 2026 Edition — PDF + EPUB, $24.99 · 14-day refund →
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