Who Pays for the Costs of a Construction Injury in NY?

When you're injured on a New York construction site, the question that often keeps you awake at night is: who will pay for your medical bills, lost wages, and other mounting bills? The answer isn't always straightforward.

In New York, multiple parties may be responsible for covering the costs of your construction injury, and you may be entitled to more compensation than you initially realize. Our experienced construction accident lawyers will help you identify all potential sources of payment for your construction-related injuries and expenses.

Who Can Be Held Liable in New York Construction Accidents

When you're injured on a construction site, your direct employer isn't always the only party responsible for paying your costs. New York's unique legal framework allows injured construction workers to seek additional compensation from third parties who contributed to their injuries.

Property Owners

Property owners bear significant responsibility under New York law. Property owners have a legal duty to ensure that the work environment is reasonably safe. If the property owner was aware of hazardous conditions or failed to address safety concerns, they could be held liable for your injuries.

General Contractors

General contractors face substantial liability exposure. If the general contractor fails to comply with safety regulations set forth by the Occupational Safety and Health Administration (OSHA) or New York's labor laws, they can be held liable for injuries caused by their negligence.

Subcontractors

Subcontractors can also be responsible for construction site injuries. Each subcontractor has a duty to maintain safe working conditions for their specific scope of work.

Equipment Manufacturers

Equipment manufacturers may be liable if defective tools, machinery, or safety equipment caused your accident. If a scaffold collapses due to a manufacturing defect, the injured worker can file a claim against the manufacturer.

What Workers' Compensation Covers for New York Construction Workers

Workers' compensation is a no-fault insurance system designed to provide benefits and medical coverage to employees who suffer work-related injuries or illnesses. Employees have a right to receive workers' compensation benefits for job-related injuries.

For injured construction workers in New York, workers' compensation typically covers:

• Medical expenses for all necessary treatment related to your injury.
• Lost wages — usually two-thirds of your average weekly wage.
• Disability payments for temporary or permanent disabilities.
• Medical equipment needed for your recovery.
• Death benefits for surviving family members in fatal cases.

Compensation is not payable if an injured worker's lost time is equal to or less than one week. Benefits are payable from the date of disability if an injured worker's lost time exceeds two weeks.

Limitations of Workers' Compensation Benefits

While workers' comp provides essential coverage, it has significant limitations. Workers' compensation does not provide any "pain and suffering" or "punitive" benefits or payments. This means you cannot recover compensation for:

• Pain and suffering
• Emotional distress
• Full lost wages (only two-thirds are covered)
• Future income potential losses
• Diminished quality of life

The Employer's Workers' Compensation Insurance Obligation

Businesses in New York State must have workers' compensation coverage for all employees. The rule includes part-time employees and family members employed by the company. This coverage protects both you and your employer - while you receive benefits, employees typically cannot sue their employer directly, even if the employer's negligence contributed to the accident.

New York's Scaffold Law: Maximum Compensation for Fall Injuries

New York's Labor Law 240, commonly known as the Scaffold Law, provides extraordinary protection for construction workers. The scaffold law protects construction workers from falls and other gravity-related accidents on the job site, and provides a way to recover compensation when workers get hurt.

Under the Scaffold Law:

• Property owners and general contractors are held to strict liability standards.
• No comparative negligence applies — even if you were partially at fault, you can still recover full compensation.
• Absolute liability means defendants cannot escape responsibility by claiming they took safety precautions.

All that needs to be proven for a successful claim is: (1) the entity was the Owner or General Contractor of the construction project; (2) the activity that produced the injury was covered; and (3) your injury was caused by gravity.

Labor Law 241: Broader Construction Site Safety Protection

New York Labor Law 241 extends beyond fall injuries to cover various construction site hazards. Under Labor Law section 241(6), a property owner or contractor is accountable in negligence for an accident that happened under its supervision or control.

This law covers injuries related to violations of specific safety industrial codes:

• Inadequate lighting
• Poor housekeeping
• Unsafe excavation practices
• Improper construction methods

How Insurance Actually Pays Your Claims

While we've covered who can be held liable for your construction injury, it's important to understand how these payments actually work in practice. The liable parties don't pay out of pocket. In most cases, their liability insurance companies pay the compensation that’s owed.

Employer's Workers' Compensation Insurance

Your employer's workers' compensation insurance company is typically the first to pay for your medical treatment and wage replacement benefits. New York requires all for-profit businesses and most non-profit companies that have employees to carry workers' compensation insurance.

Third Party Insurance Coverage

When third parties are liable for your construction injury, their insurance companies become responsible for payment:

• General liability insurance carried by contractors and property owners.
• Professional liability insurance for architects and engineers.
• Product liability coverage for equipment manufacturers.

General liability insurance for construction contractors in New York can cost 2 to 5 times more than in other states. Some contractors pay over $1 million per year in liability insurance premiums, reflecting the significant exposure these parties face under New York law.

How to Recover Maximum Compensation

To recover maximum compensation for your construction injury, you often need to pursue both workers' compensation benefits and third-party claims simultaneously. You can file for workers' compensation and a personal injury lawsuit under New York Labor Laws.

This dual approach ensures:

• Immediate medical treatment through workers' comp
• Full compensation for all damages through third-party claims
• No gaps in coverage during your recovery

Filing Claims: Time Limits and Requirements

After an accident, time is not on your side. New York law sets strict deadlines for filing a claim, and missing them can mean losing your right to compensation forever.

Workers Compensation Claims

For workers' compensation claims, you must report your injury within 30 days to your employer. You typically have two years from the date of the accident to file a formal claim with the Workers' Compensation Board.

Third Party Claims

In most cases, you have three years from the date of the accident to file a personal injury claim against third parties (like property owners, general contractors, or equipment manufacturers). However, certain factors can affect this timeline. For instance, if you are filing a wrongful death claim due to a fatal accident, the statute of limitations is generally two years from the date of death.

Missing these deadlines can result in losing your right to compensation entirely, making prompt legal action essential.

Fellows Hymowitz Rice: Your Partner for NY Construction Injury Claims

Suppose you've been injured on a New York construction site. In that case, you have rights that extend far beyond basic workers' compensation, with state labor laws providing powerful protections that can result in significant compensation for your injuries, lost wages, and future needs. Contact us today for a free consultation to ensure you receive the full compensation you deserve under New York law.