The new face of Workers Compensation solutions

What are Nonsubscription Insurance Solutions?

A Nonsubscription program is a program that allows employers to opt-out of traditionally structured workers compensation programs. This option is only available in select states, but has been implemented by public and private sector entities in a variety of industries. In the states where this program is available, companies choose a nonsubscription program for the following reasons:

  • Helps employers reduce costs
  • Allows for a more customized program for the participating organization
  • Generates improved employee benefits, healthcare offerings and satisfaction
  • Allows for greater control of the program by the employer

As the Gallagher partner for Texas Nonsubscription solutions, we offer some of the most comprehensive and legislative-compliant nonsubscriber solutions and consulting services available. We have designed, implemented, insured and administered nonsubscriber programs for hundreds of thousands of employees. Working in conjunction with your team members and their in-house legal counsel, our consulting and brokerage services group manages a full scope of services for nonsubscription programs including:

Texas Nonsubscription Statistics

According to a 2005 Texas Association for Nonsubscribers (TXANS) report, the following industry sectors represent the highest percentages of nonsubscribing employers.

  • Arts/Entertainment/Accommodation/Food Services - 54%
  • Manufacturing - 42%
  • Finance/Real Estate/Professional Services - 41%
  • Health Care/Educational Services - 41%
  • Wholesale Trade/Retail Trade/Transportation - 40%
  • Agriculture/Forestry/Fishing/Hunting - 39%
  • Other Services Except Public Administration - 39%
  • Mining/Utilities/Construction - 32%

The Oklahoma Nonsubscription (Opt Out) Option will be available to Oklahoma employers beginning in February, 2014. This new workers compensation legislation will allow any employer in Oklahoma to opt out of the state’s mandatory workers compensation system. Our partner team was instrumental in forming the Oklahoma Injury Benefit Coalition, and they have been leaders  in implementing solutions and services originally for the Texas nonsubscription programs. Employers choosing this option will still need to protect themselves against liability arising out of an employee injury. There are many components and requirements associated with this new legislation, so it is critical to partner with the right team. Contact the Gallagher Casualty practice team for more information and assistance. 


In working with our team and our nonsubscription partner, we will develop a program that includes:

  • Medical management and policies and procedures structures
  • Claims administration and injury benefit plans
  • Compliance, fiduciary services and litigation management
  • Feasibility analysis
  • Employee communications programs

Staffing & Approach

Our nonsubscription partner’s staff includes:

  • Attorney consultants specializing in insurance, employee benefits and Employee Retirement Income Security Act (ERISA) issues, employment law, litigation and arbitration
  • Insurance brokers, agents and adjusters
  • Risk managers, data and actuarial specialists