Workers' compensation is primarily mandated by which entity?

Workers' compensation is primarily mandated by state governments because it is governed by state laws and regulations that vary from one jurisdiction to another. Each state has its own workers' compensation program, which establishes the rules for benefits, coverage, and claims processes. This decentralized approach allows states to tailor their workers' compensation systems to the specific needs of their workforce and economic conditions.

While the federal government has a role in certain areas of workers' compensation, particularly for federal employees and specific industries (such as coal mining under the Black Lung Benefits Act), the majority of workers' compensation laws and policies are established and enforced at the state level. Insurance providers and healthcare providers, on the other hand, operate within the framework set by the state governments and may offer products and services to facilitate the implementation of workers' compensation, but they do not mandate the coverage themselves.