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Texas Non-Subscriber Insurance

Insurance isn’t everything. But the peace of mind it can give you is.



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Spotlight on: Texas Non-Subscriber Insurance

Even if you’re not required to carry workers’ compensation insurance by law or if workers’ compensation insurance doesn’t seem like a good fit for your Texas business, it’s still advisable to obtain some coverage to limit your liability.

If workers’ compensation insurance doesn’t seem like the right fit for your Texas business, you may enjoy the benefit of alternative options.


The Higginbotham Difference: Unique Coverage for Your Unique Needs

Texas employers have a variety of alternative options to workers’ comp. The question is, which one is right for you? 

That’s where our experience comes in. With your priorities in mind, we get to work. Our prices are competitive, our fees are clear, and our industry relationships allow us to go above and beyond—whether it’s responding to short-term non-subscriber needs or delivering long-term value. 

Because you deserve an insurance broker who works as hard as you do.

To learn more about how our values-based approach drives value for your business, click here

Or visit our Insights page to learn more about workers’ compensation insurance alternatives.

Work with a broker who offers alternative options.

Planning coverage for the countless risks you face as an employer can be overwhelming. 

Higginbotham is here to educate you on your options and help you make an informed decision. Our deep experience and strong insurance carrier relationships help us accomplish things others can’t. 

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Workers’ Compensation Insurance Alternatives

If you work for a business that subscribes to workers’ compensation in Texas, those benefits are your only available remedy in the aftermath of a qualifying workplace injury.

A Texas employer who opts out of the workers’ compensation system, a “non-subscriber,” can be sued for negligence by an injured employee. Non-subscribers are required to file an annual DWC-5 and DWC-7 report when an employee suffers an injury resulting in lost time. That said, the non-subscription route can save employers a considerable amount of money in certain situations.

That’s because opting out of carrying workers’ compensation insurance waives all common law legal defenses available to employers subject to workers’ compensation laws.



These defenses include:

  • Comparative Negligence
  • Doctrine of Inherent Risk
  • Fellow Employee

Higginbotham is more than just another insurance company. They are a trusted solutions-driven partner highly dedicated to helping their clients find the right options for their individual needs.

Carrie B.
Program Manager, Engineering Industry

Workers’ Compensation vs. Non-Subscriber

While the Texas Department of Insurance does not recognize these benefits as true substitutes for workers’ compensation insurance coverage, these programs can offer added flexibility for Texas employers. 

When combined with a strong risk mitigation strategy, a non-subscriber policy can help employers with medical costs, lost time wages and death and dismemberment claims for covered occupational injuries up to the policy limit.

Some other examples of potential benefits include:

  • Flexibility to customize care plans for injured employees
  • Flexibility to customize disability pay after a covered employee injury

Some alternative coverages do not provide protection against supplementary costs an employer may incur, such as attorney fees.

It’s important to work with a non-subscriber insurance specialist when considering this coverage.

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Is the non-subscriber route the right choice for your business?

If you’re a Texas employer who’s considering non-subscriber alternatives to workers’ comp, you’re not alone. 

According to a report by Insurance Journal, around 22% of all Texas businesses were listed as non-subscribers to the workers’ compensation system.

While there are cases in which it would be better to go with a traditional workers’ compensation program, many companies find the benefits of non-subscription outweigh the risks. 

However, this route requires a strong employer commitment to risk mitigation and workplace safety protocols.

Non-Subscriber Risk Management

For employers who want to opt-out of carrying workers’ comp for employees, Higginbotham has solutions to limit your liability.

We can design a policy tailored to your needs and unique risk exposure.

There are two types of non-subscriber policies that a Texas employer can select in lieu of workers’ compensation coverage:

  • Standalone Employee Benefits
  • Benefits with Coverage for Lawsuits

While most insurance brokers will happily sell you an insurance policy, we set ourselves apart by delivering year-round value with our Day Two Services® that support your risk management efforts 365 days a year.

At Higginbotham, you get subject matter specialists in compliance, arbitration plans, safety program design, employment law, claims advocacy, loss control, contract review and more.

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Not sure where to start? Talk to someone who wants to listen.

A great plan starts with a conversation. Let’s talk about what you need.

Talk to an Texas Non-Subscriber Specialist
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