In some cases, a person or company other than the employer may have caused or contributed to the worker’s injuries. When that happens, the injured worker may have a separate third-party personal injury claim against the responsible party.

In Illinois, Section 5(b) of the Workers’ Compensation Act specifically allows an employee to pursue legal proceedings against a third party whose conduct creates legal liability for the worker’s injuries, even when the employer is paying or is responsible for workers’ compensation benefits.

A third-party claim can be significant because a civil personal injury lawsuit may provide compensation for certain damages that are not generally available through workers’ compensation. However, third-party cases also involve important issues concerning liability, insurance coverage, deadlines, and the employer’s workers’ compensation lien.

“A workplace injury does not always end with a workers’ compensation claim. When another person or company may have caused the accident, it is important to investigate that potential third-party liability and determine every source of compensation available under Illinois law.” — John J. Malm, Naperville injury attorney

Workplace Injuries Affect Thousands of Illinois Workers

Workplace injuries are a significant concern throughout Illinois. According to the U.S. Bureau of Labor Statistics, private-industry employers in Illinois reported 91,600 nonfatal workplace injuries and illnesses in 2024. The state’s total recordable case rate was 2.2 cases per 100 full-time equivalent workers. Of those Illinois cases, approximately 58,300 involved days away from work, job transfer, or restriction, and approximately 37,900 involved days away from work specifically.

The industries with significant numbers of reported injuries and illnesses included:

• Trade, transportation, and utilities
• Education and health services
• Manufacturing
• Construction and other goods-producing industries

The BLS reported that trade, transportation, and utilities; education and health services; and manufacturing together represented about 53% of private-industry employment in Illinois but accounted for approximately 75% of occupational injuries and illnesses reported in 2024.

These statistics demonstrate how frequently Illinois workers encounter conditions that can result in serious injuries. In some of those cases, the circumstances may involve a third party whose negligence or wrongful conduct creates a separate legal claim.

What Is a Third-Party Workplace Injury Claim?

A third-party claim is generally a personal injury claim against an individual, business, manufacturer, property owner, driver, subcontractor, or other entity that is not the injured worker’s employer but may be legally responsible for causing the accident.

For example, imagine a construction worker is performing a job at a construction site when a delivery truck operated by an outside company backs into the worker. The employee may have a workers’ compensation claim against the employer because the injury occurred in the course of employment. At the same time, the injured worker may have a negligence claim against the trucking company or driver if their conduct caused the collision. The two claims are different.

The workers’ compensation claim generally concerns the employee’s relationship with the employer and the benefits available under the Illinois Workers’ Compensation Act. The third-party case is a civil claim based on the third party’s alleged negligence or other legal liability.

Illinois law expressly permits these claims. Section 5(b) provides that when a workplace injury or death is caused under circumstances creating legal liability for damages by someone other than the employer, legal proceedings may be taken against that person even though workers’ compensation has been paid or is owed.

Common Examples of Third-Party Claims

Third-party claims can arise in many different types of workplace accidents. The identity of the potentially responsible third party depends on what caused the accident. Examples can include:

• Motor vehicle accidents: A worker driving for work or performing duties near a roadway is injured by another driver’s negligence.
• Truck accidents: A commercial truck driver or trucking company causes a collision involving a worker.
• Construction accidents: A subcontractor, property owner, equipment operator, or other company contributes to an accident.
• Defective products: A dangerous machine, tool, vehicle, or other product causes a workplace injury.
• Premises liability: A worker is injured because of a dangerous condition on property controlled by someone other than the worker’s employer.
• Negligent contractors: An outside contractor creates an unsafe condition that injures another company’s employee.
• Dog attacks: A worker is attacked or bitten by an animal owned or controlled by someone outside the employment relationship.
• Negligent property maintenance: A delivery driver, maintenance worker, or other employee is injured because a third party failed to maintain reasonably safe premises.

Determining whether a third-party claim exists requires examining the circumstances of the accident rather than simply asking whether the injury occurred at work.

How Is a Third-Party Claim Different From Workers’ Compensation?

One of the most important distinctions is that workers’ compensation generally operates without requiring the employee to prove negligence. A third-party personal injury lawsuit, by contrast, ordinarily requires establishing the legal elements of the claim against the responsible party. The potential damages can also differ.

Workers’ compensation benefits may include medical expenses and wage-loss benefits, along with compensation for permanent disability or impairment under the applicable provisions of Illinois law. A third-party negligence case can potentially seek broader categories of damages, depending on the facts and applicable law. These can include:

• Medical expenses
• Lost income and diminished earning capacity
• Physical pain and suffering
• Emotional distress
• Loss of normal life
• Disability or disfigurement
• Other legally recoverable damages

The availability and amount of particular damages depends on the circumstances of the case.

You Can Potentially Pursue Both Claims

A common misconception is that an employee must choose between workers’ compensation and a third-party lawsuit. In Illinois, that is not necessarily the case. Section 5(b) specifically contemplates a situation in which an employee receives workers’ compensation while also pursuing damages from a responsible third party.

For example, suppose an employee is injured when another company’s vehicle strikes them while they are performing work duties. The employee could potentially receive workers’ compensation benefits for medical treatment and lost wages while also pursuing a negligence claim against the responsible driver or company. This is one reason it is important not to assume that a workplace accident is solely a workers’ compensation matter.

What Happens to the Workers’ Compensation Lien?

One of the most important issues in an Illinois third-party claim is the workers’ compensation lien. When workers’ compensation benefits have been paid, Illinois law generally provides the employer or its workers’ compensation carrier with a right to reimbursement from a third-party recovery for covered compensation paid or payable to the employee.

The Illinois Supreme Court has recognized that Section 5(b) gives the employer a statutory lien against a third-party recovery in appropriate circumstances. That does not mean that every dollar recovered from a third-party case simply goes back to the workers’ compensation carrier. Section 5(b) also contains provisions concerning the employer’s share of costs and expenses and attorney compensation associated with obtaining the reimbursement.

The calculation can become complicated, particularly when substantial medical expenses, temporary disability benefits, permanent disability benefits, future benefits, litigation expenses, and settlement negotiations are involved. For that reason, an injured worker should understand the potential lien before resolving a third-party case.

Who Can Be Held Responsible?

A third-party claim is not automatically successful simply because someone other than the employer was present when the accident happened. The third party must have a legally sufficient basis for liability. Depending on the accident, an investigation may need to determine:

• Who controlled the location where the accident occurred?
• Who owned or operated the equipment involved?
• Who was responsible for maintaining the property?
• Was another driver negligent?
• Did a manufacturer produce or distribute a defective product?
• Was an outside contractor responsible for an unsafe condition?
• Were safety procedures ignored?
• Were there witnesses or surveillance videos?
• Are there photographs, inspection records, maintenance records, or other evidence documenting the accident?

Evidence can become particularly important because businesses and insurance companies may begin investigating an accident soon after it occurs.

Third-Party Claims Can Involve Significant Insurance Issues

Identifying the potentially responsible party is only part of the investigation. An attorney may also need to determine what insurance coverage applies. Depending on the circumstances, potential insurance policies can include:

• Commercial automobile insurance
• General liability insurance
• Commercial property insurance
• Product liability coverage
• Contractor or subcontractor insurance
• Umbrella or excess liability coverage
• Other specialized commercial policies

Multiple insurance policies can create complicated questions about coverage, liability, policy limits, and competing claims. An injured worker should generally avoid assuming that the workers’ compensation insurer is the only insurer involved in the accident.

Why Evidence Matters in a Third-Party Case

A third-party personal injury claim must be supported by evidence establishing liability and damages. Evidence should be preserved as soon as reasonably possible. Important evidence may include:

• Accident reports
• Photographs and videos
• Surveillance footage
• Vehicle black-box or electronic data
• Witness statements
• Medical records
• Employment and wage records
• OSHA records
• Equipment inspection and maintenance records
• Safety manuals and training records
• Company policies
• Product documentation
• Communications concerning the accident
• Expert testimony when appropriate

The evidence needed depends on the nature of the accident. For example, a truck accident may require examination of driver logs, electronic logging data, vehicle maintenance records, and other commercial transportation evidence. A defective-equipment case may require preservation and inspection of the equipment itself.

Third-Party Claims After Construction Accidents

Construction sites are particularly likely to involve multiple companies working in the same location. An injured worker may be employed by one company while working alongside employees of subcontractors, general contractors, equipment suppliers, delivery companies, or other businesses.

If an outside company’s negligence contributes to an accident, the injured worker may potentially have a third-party claim in addition to workers’ compensation. Construction accident cases can be especially fact-intensive because responsibility for safety, equipment, supervision, and site conditions may be divided among several entities.

Third-Party Claims After Car Accidents

Motor vehicle accidents are another common setting for third-party workplace injury claims. Consider an employee who is making deliveries when another driver runs a red light and causes a collision. The employee may have a workers’ compensation claim because the accident occurred while working. But the negligent driver may also be legally responsible for the resulting injuries.

Similarly, employees working near roads or construction zones can be injured by motorists who fail to obey traffic laws or operate vehicles safely. In these cases, photographs, crash reports, witness statements, vehicle data, video evidence, and other documentation can become important in establishing what happened.

What Happens if the Third Party Settles the Case?

A third-party case may resolve through a negotiated settlement or proceed to trial. If there is a recovery, the workers’ compensation lien and reimbursement provisions must be addressed. Section 5(b) provides that the employer can seek reimbursement for workers’ compensation amounts paid or to be paid from the third-party recovery.

The Illinois Supreme Court has also explained that the statutory reimbursement mechanism can include future compensation obligations, not merely benefits that had already been paid when the third-party case was resolved. This makes lien negotiations an important part of evaluating the actual financial result of a third-party settlement.

Frequently Asked Questions About Third-Party Workplace Injury Claims

Can I file a third-party claim if I am already receiving workers’ compensation?

Yes, Illinois law expressly permits legal proceedings against a responsible third party even when workers’ compensation benefits are being paid or are owed.

Does a third-party claim replace my workers’ compensation claim?

No. A third-party claim is generally separate from the workers’ compensation claim. Depending on the circumstances, an injured employee may pursue both.

Who is considered a third party?

A third party can be an individual or business other than the injured employee’s employer that may have legal responsibility for causing the accident. Examples include another driver, trucking company, property owner, subcontractor, contractor, or manufacturer.

Can I sue my employer for a workplace injury?

Generally, Illinois workers’ compensation law limits an employee’s ability to pursue a separate common-law or statutory damages action against the employer for an injury covered by the Act, subject to statutory exceptions.

Will I have to repay workers’ compensation benefits from my settlement?

A workers’ compensation lien or reimbursement claim may apply to a third-party recovery. Illinois law establishes rules governing reimbursement, costs, expenses, and attorney fees associated with the third-party recovery.

What if the third party says I was partially responsible?

Illinois comparative-fault principles can affect the amount recoverable in a negligence case. The effect of alleged fault depends on the facts, the applicable law, and the evidence concerning how the accident occurred.

How long do I have to bring a third-party claim?

The deadline depends on the type of claim and the identity of the responsible party. Different statutes of limitation and repose can apply, and special rules may apply to governmental entities or certain types of claims. Because missing a deadline can prevent recovery, an injured worker should investigate potential claims promptly.

Contact the 5-Star Rated Illinois Workplace Injury Lawyers at John J. Malm & Associates

A serious workplace accident can affect your health, income, family, and future. While workers’ compensation may provide important benefits, it is worth determining whether another person, company, driver, contractor, property owner, or manufacturer may also be legally responsible for what happened.

If you or a family member has suffered a workplace injury, John J. Malm & Associates can investigate the circumstances of the accident, identify potential third-party liability, evaluate applicable insurance coverage, and help protect your rights throughout the claims process. Do not assume that workers’ compensation is your only potential source of recovery. Contact our firm after a workplace accident to discuss your case and learn whether you may have a third-party personal injury claim.

“An IME is not about your recovery, it’s about the insurance company protecting its bottom line. Having the right legal guidance before and after the exam can make all the difference in the outcome of your case.” — John J. Malm, Naperville personal injury attorney

What Is an Independent Medical Examination (IME)?

An Independent Medical Examination (IME) is a medical evaluation conducted by a doctor who has not previously treated you and is typically selected by the insurance company or defense attorneys.

The purpose of the IME is to provide a medical opinion about:

• The nature and extent of your injuries
• Whether your injuries were caused by the accident
• Whether your treatment is reasonable and necessary
• Your ability to work or function

In theory, the exam is meant to be “independent.” However, in practice, the doctor is usually hired and paid by the insurance company, which can raise concerns about bias.

Why Insurance Companies Request IMEs

Insurance companies request IMEs as part of their effort to evaluate and often limit the value of a claim. These exams are commonly used in:

• Car accident cases
• Workers’ compensation claims
• Slip and fall lawsuits

The defense typically uses the IME to:

• Challenge the severity of your injuries
• Argue that your injuries were pre-existing
• Claim your injuries are unrelated to the accident
• Reduce or deny compensation

According to legal industry sources, IMEs are a standard tool used by insurers to verify claims and control costs in litigation.

Key Facts About IMEs

Here are some important realities about IMEs that injury victims should understand:

• You are usually required to attend: If your case is in litigation, courts can order you to attend an IME. Refusing may result in penalties or even dismissal of your claim.
• The doctor is not your treating physician: There is no traditional doctor-patient relationship, and the exam is not meant to provide treatment.
• The defense controls the process: The insurance company selects the doctor and defines the scope of the exam.
• A report will be generated: The IME doctor prepares a written report that can be used as evidence in your case.

What Happens During an IME?

An IME is typically shorter and more focused than a regular medical appointment. The doctor’s goal is not to treat you, but to evaluate your condition for legal purposes.

During the exam, you can expect:

• A review of your medical history
• Questions about how the accident occurred
• A physical examination
• Functional testing (range of motion, strength, etc.)

The doctor may also compare your complaints with objective findings to identify inconsistencies.

How Long Does an IME Take?

IME appointments are often surprisingly brief. While a standard medical visit may last 30–60 minutes, some IMEs can take aslittle as 10–20 minutes, depending on the complexity of the case.

Despite the short duration, the resulting report can carry significant weight in settlement negotiations or trial.

How IME Results Are Used Against You

Insurance companies rely heavily on IME reports to dispute claims. The findings may be used to argue:

• You were not seriously injured
• Your injuries are exaggerated
• Your condition existed before the accident
• You no longer need medical treatment

In many cases, IME doctors are asked to provide opinions that support the defense’s position, such as whether you have reached maximum medical improvement (MMI) or can return to work.

Common Criticisms of IMEs

Although IMEs are presented as neutral evaluations, they are often criticized for lack of true independence.

Common concerns include:

• Doctors are hired repeatedly by insurance companies
• Financial incentives may influence opinions
• Exams may be brief and lack thoroughness
• Reports may downplay injuries

Some legal commentators even describe IMEs as “defense medical exams” because of their role in litigation strategy.

Statistics and Trends Related to IMEs

While precise national statistics on IME outcomes are limited, several trends are well recognized in the legal and insurance industries:

• IMEs are routinely used in contested injury claims, especially when damages are significant
• Insurance companies rely on IMEs in a large percentage of litigated personal injury and workers’ compensation cases
• IME findings frequently conflict with treating physicians’ opinions, creating disputes that must be resolved through settlement or trial
• In workers’ compensation systems, IMEs are often pivotal in determining eligibility for benefits and disability ratings

These trends highlight the importance of preparing thoroughly for an IME and understanding its potential impact.

How to Prepare for an IME

Preparation can make a significant difference in how your IME is documented and interpreted.

Practical tips include:

• Be honest and consistent with your symptoms
• Review your medical history beforehand
• Avoid exaggeration or speculation
• Follow your doctor’s treatment plan
• Arrive early and be polite

What to avoid:

• Guessing answers
• Downplaying your symptoms
• Discussing legal strategy with the examiner

Remember, everything you say and do may be included in the doctor’s report.

Can You Bring Someone to an IME?

In many cases, you may be allowed to bring:

• A friend or family member
• A nurse or observer

However, rules vary by jurisdiction. Your attorney can advise whether this is permitted in your case.

Do You Have to Attend an IME?

Generally, yes, especially if your case is in litigation. Courts have the authority to compel an IME, and failing to attend can result in:

• Suspension of your claim
• Loss of benefits
• Case dismissal

If you have concerns about the exam, your attorney may be able to challenge the request or place limits on its scope.

The Importance of Legal Representation

An IME is not just a medical appointment, it is a legal event that can significantly affect your case.

An experienced Illinois personal injury attorney can:

• Prepare you for the exam
• Protect your rights during the process
• Challenge biased or inaccurate reports
• Cross-examine the IME doctor if necessary

Frequently Asked Questions about IMEs

Q: What does IME stand for?

A: IME stands for Independent Medical Examination, a medical evaluation conducted by a non-treating physician for legal or insurance purposes.

Q: Is an IME really independent?

A: Not always. Although labeled “independent,” the doctor is typically hired and paid by the insurance company, which can create potential bias.

Q: Can I refuse an IME?

A: In most cases, no. Refusing an IME can jeopardize your claim or lead to court-imposed penalties.

Q: Will the IME doctor treat my injuries?

A: No. The IME doctor does not provide treatment and does not establish a doctor-patient relationship.

Q: How can an IME affect my case?

A: The IME report can significantly influence:

• Settlement value
• Insurance decisions
• Trial outcomes

Q: What should I say during an IME?

A: Stick to the facts. Be honest, consistent, and avoid exaggeration.

Contact the Experienced Illinois Personal Injury Lawyers at John J. Malm and Associates

An Independent Medical Examination can feel intimidating and for good reason. The outcome of this one appointment can shape the trajectory of your entire personal injury case. Insurance companies use IMEs as a strategic tool to minimize payouts, and without proper preparation, you may be at a serious disadvantage.

At John J. Malm & Associates, we understand how IMEs work and how to protect our clients from unfair tactics. We prepare you before the exam, monitor the process, and aggressively challenge any biased or inaccurate conclusions.

If you’ve been asked to attend an IME after an accident, don’t go in unprepared. Contact our experienced personal injury attorneys today for a free consultation and let us help you protect your rights and maximize your recovery.