Workers' Compensation is a type of insurance that provides financial support to employees who are injured or become ill due to their job. This system helps cover medical expenses, rehabilitation costs, and lost wages, ensuring that workers receive necessary care without needing to prove fault. Employers are typically required to carry Workers' Compensation insurance, which protects them from lawsuits related to workplace injuries. In return, employees generally give up their right to sue their employer for negligence. This creates a balanced system that aims to support both workers and employers in managing workplace-related incidents.