What is the 'workers' compensation' system?

The workers' compensation system is primarily designed to provide financial support to employees who suffer injuries or illnesses as a direct result of their job. This system is fundamentally an insurance mechanism that compensates workers by offering wage replacement and covering medical expenses associated with work-related injuries.

In addition to financial support for medical care and lost wages, the system may also provide rehabilitation services to help workers return to their jobs. It's a form of protection for both employees and employers, as it ensures that injured workers receive assistance while limiting the liability of employers regarding lawsuits for work-related injuries.

Other options do not accurately describe the essence of the workers' compensation system. For example, while it does cover medical expenses, it does not cover all employee medical bills, especially those not related to work injuries. Additionally, it is not merely a policy that addresses workplace accidents "without any costs," as there are indeed costs associated with the system, both for employers and the insurance providers. Similarly, while enhancing job security may be an ancillary benefit of a safe workplace, it does not directly relate to the primary function of workers' compensation, which is to provide financial benefits after an injury occurs.