Can I File a Workers’ Compensation Claim and a Lawsuit for the Same Work Injury?

October 29, 2026

Key Takeaways

• You can file a Workers’ Compensation claim and a third-party lawsuit for the same Maryland work injury.
• You usually cannot sue your employer, but you may sue other negligent parties.
• Workers’ Compensation does not require proof of fault.
• The Workers’ Compensation insurer may claim repayment from your lawsuit recovery.

In Maryland, you can receive Workers’ Compensation benefits and file a personal injury lawsuit against a third party for the same work injury. You generally cannot sue your employer, but you may be able to sue a negligent equipment maker, driver, or contractor. Workers’ Compensation can cover your bills while the lawsuit moves forward.

Employers Cannot Be Sued for Job-Related Injuries

Maryland law does not allow you to sue your employer in a negligence-based personal injury case. This is the trade-off for your employer following the law and paying money for insurance premiums. You can only directly sue your employer in Maryland for a workplace injury under extreme circumstances. Most likely, this is not going to be an option in your workplace injury case.  However, it is in your interest to try to find some way to file a lawsuit because it can result in more money than you would get from a Workers’ Compensation claim. 

When You Can Sue a Third Party

There is a way that you can file a lawsuit for a work-related injury. However, this case must usually be filed against a third party that is not your employer. For example, you may be able to sue the following third parties in a workplace injury case:

• Equipment manufacturers that made defective machinery, tools, or parts
• Property owners who failed to fix dangerous conditions on a job site
• General contractors or subcontractors whose careless work caused your injury
• Negligent drivers who caused a car accident while you were working
• Maintenance companies that improperly repaired or serviced your equipment
• Chemical suppliers that failed to warn about toxic exposure risks
• Security companies that failed to protect workers from foreseeable violence

A Workers’ Compensation Claim Can Pay Your Bills in the Meantime

The question is whether you can file a Workers Compensation claim in the meantime if you intend to file a personal injury lawsuit against the third party. There is nothing that keeps you from seeking and receiving Workers’ Compensation benefits while your third-party lawsuit is pending.

When you are filing a Workers’ Compensation claim, there is a different standard that you must meet. You must show that you have suffered an injury and that it was job-related. You do not have to prove that someone else was at fault, and you can even receive benefits if you were negligent yourself. If you do not win your personal injury lawsuit, you can keep the Workers’ Compensation benefits you received if your claim was granted. This can be a valuable source of income and coverage of your medical costs in the meantime because it can take a long time to resolve a personal injury lawsuit. Your lawyer will most likely recommend that you file a Workers’ Compensation claim, even if you intend to sue in the future.

The Insurance Company Will Need to Be Paid Back if You Win

You do not get to keep all of the money that you received for Workers’ Compensation benefits if you reach a settlement or when your personal injury case. The insurance company that paid for your Workers’ Compensation claim becomes a lien holder against your settlement or jury award. They will be able to receive an offset from the proceeds of your case. If you settled your case for $200,000, and you received $50,000 of Workers’ Compensation benefits, that amount comes off the top of your personal injury case. This is something that you need to factor in when you are negotiating a settlement because you will need to pay the insurance company back.

 

Baltimore Workers’ Compensation Lawyers at LeViness, Tolzman & Hamilton Can Evaluate Your Case

If you have been hurt on the job, the Baltimore Workers’ Compensation lawyers at LeViness, Tolzman & Hamilton can evaluate your case. Our trusted legal team is ready to help you with your claims. Reach out to the firm online or call 800-547-4LAW (4529) to schedule a free consultation. Located in Baltimore and Owings Mills, we serve clients throughout Maryland.