The Role of Supplemental Disability Benefits in Income Security for Injured Workers

Using a stratified random sample from the Michigan Bureua of Workers' Disabilitys Compensation claims files, the author examined the distribution of disability benefits across injured workers to detemine which workers have access to disability benefits in addition to workers' compensation. Using a ligit model, the result indicate that low-income workers employed by smaller, less financially stable firms are more likely to depend exclusively on workers' compensation for income while disabled The policy implication is that the burden of the problems with workers' compensation is more likely to fall on those workers who are least able to bear it.