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

They serve different purposes. Workers' compensation generally involves your employment relationship, provides defined statutory benefits, and usually does not depend on proving employer negligence. It may cover medical treatment, wage-loss benefits, and disability compensation, but it does not typically compensate pain and suffering.

A third-party claim involves a person or business outside that relationship and usually requires establishing third-party fault. In an appropriate case it may include damages that are unavailable through workers' compensation.