WORKERS COMPENSATION INSURANCE
SERIES PRACTICE EXAM 2026
◉ Benefits are dictated by _______ law. Answer: State
◉ _______ states require employers to prove Workers' Compensation
benefits to their employees. Answer: Compulsory
◉ _____ states give employers the option, but failing to provide
benefits exposes the employer to litigation for workplace injuries.
Answer: Elective
◉ Certain workers are protected under federal jurisdictions instead
of state Workers' Compensation laws. The crews of ocean vessels are
protected by the _______. Answer: Jones Act
◉ Non-crew ship workers are protected by the _______. Answer: U.S.
Longshore and Harbor Workers' Compensation Act
◉ Interstate railroad workers are protected by the _______. Answer:
Federal Employers Liability Act
, ◉ Workers at military bases outside of the United States are
protected by the _______. Answer: Defense Base Act
◉ Employers have options for where to obtain Workers'
Compensation coverage. Coverage is available in the standard
market through _______ insurers. Answer: Private
◉ States may also have _______, which are state-owned and operated
organizations. Answer: state funds
◉ In _______ states, coverage is only available through the state fund.
Answer: monopolistic
◉ In _______ states, the state fund competes with private insurers.
Answer: competitive
◉ Many states also offer an _______, which is the residual market for
Workers' Compensation insurance. Answer: assigned risk plan
◉ Self-insurance Answer: _______ is also available when employers
meet certain statutory requirements and obtain proper certification.
SERIES PRACTICE EXAM 2026
◉ Benefits are dictated by _______ law. Answer: State
◉ _______ states require employers to prove Workers' Compensation
benefits to their employees. Answer: Compulsory
◉ _____ states give employers the option, but failing to provide
benefits exposes the employer to litigation for workplace injuries.
Answer: Elective
◉ Certain workers are protected under federal jurisdictions instead
of state Workers' Compensation laws. The crews of ocean vessels are
protected by the _______. Answer: Jones Act
◉ Non-crew ship workers are protected by the _______. Answer: U.S.
Longshore and Harbor Workers' Compensation Act
◉ Interstate railroad workers are protected by the _______. Answer:
Federal Employers Liability Act
, ◉ Workers at military bases outside of the United States are
protected by the _______. Answer: Defense Base Act
◉ Employers have options for where to obtain Workers'
Compensation coverage. Coverage is available in the standard
market through _______ insurers. Answer: Private
◉ States may also have _______, which are state-owned and operated
organizations. Answer: state funds
◉ In _______ states, coverage is only available through the state fund.
Answer: monopolistic
◉ In _______ states, the state fund competes with private insurers.
Answer: competitive
◉ Many states also offer an _______, which is the residual market for
Workers' Compensation insurance. Answer: assigned risk plan
◉ Self-insurance Answer: _______ is also available when employers
meet certain statutory requirements and obtain proper certification.
