Under LC 3206, when an employee dies, who benefits from compensation?

• A. The employee's dependents
• B. The employer
• C. The state
• D. The insurer

Answer: (A)

When a worker dies from a work-related injury, the compensation is paid to the employee’s dependents. The idea behind this provision is to provide financial support to those who relied on the employee’s earnings.

Dependents can include the spouse or domestic partner, children, and other persons who were actually dependent on the employee for support at the time of death. The amount and duration of benefits are determined by the statute and related rules, with burial expenses sometimes covered up to a limited amount.

The compensation is not paid to the employer, the insurer, or the state as a general rule. If there are no dependents, there may be limited funeral benefits or a payment to the estate in specific circumstances, but the ongoing benefits are intended for the employee’s dependents.