What is the role of workers compensation insurance?

The role of workers' compensation insurance is specifically to provide financial and medical benefits to employees who experience job-related injuries or illnesses. This form of insurance is designed to cover various costs associated with workplace accidents, including medical expenses, rehabilitation costs, and a portion of lost wages due to the inability to work following an injury. By offering these benefits, workers' compensation insurance helps protect both employees and employers; employees receive necessary support for recovery, while employers are shielded from lawsuits related to workplace injuries.

The other options presented do not align with the primary purpose of workers' compensation. Maternity leave, health insurance, and retirement plans serve different aspects of employee welfare and benefits but are not functions of workers' compensation insurance.