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Nonsubscription

Nonsubscription

Definition

An option available only in Texas, permitting employers to elect not to participate in the workers compensation system. Nonsubscribing employers can be held liable in tort for injuries to employees, and they are not permitted to use the traditional common law defenses available to employers subject to workers compensation laws. Two special types of insurance policies can be purchased by nonsubscription employers: occupational accident insurance and employers excess indemnity insurance.

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