When business owners think about workplace safety, one of the first questions that comes up is whether Workers’ Compensation insurance is required. In Texas, the answer is unique: unlike most other states, Texas does not require private employers to carry Workers’ Compensation insurance. But before making a decision, business owners should understand the legal, financial, and reputational impacts of opting in or out.

While this may sound like an advantage, going without coverage and becoming a “non-subscriber”, carries risks that can outweigh the cost savings. Risks of Going Without Workers’ Comp:

• Lawsuits: Without coverage, employees can sue employers directly for workplace injuries. And Texas law prevents non-subscribers from using certain legal defenses.
  
• Financial Exposure: A single serious workplace injury can create significant medical, legal, and settlement costs.
  
• Recruitment & Retention: Many employees view workers’ compensation as a basic protection. Not offering it can impact your ability to attract and keep talent.
  
• Compliance Reporting: Employers who don’t carry workers’ comp must still file notices with the state and notify employees.
  

Why Many Texas Employers Still Choose Coverage

Even though it’s optional, many forward-thinking Texas businesses purchase Workers’ Compensation insurance because:

• It provides exclusive remedy protection, which generally limits lawsuits from injured employees.
  
• Policies include access to medical care networks and return-to-work programs that help employees recover and businesses reduce downtime.
  
• It demonstrates a culture of safety and responsibility, which strengthens employer reputation.

If you have questions about any other Business Insurance policies, please feel free to contact me. 

Jason Matison
Commercial Insurance Agent
Austin, Texas

Austin has become one of the fastest-growing tech hubs in the U.S., attracting startups, scale-ups, and global tech players alike. With this boom comes opportunity—but also heightened risks for company leaders. That’s where Directors & Officers (D&O) Insurance becomes essential.

What Is D&O Insurance?

D&O insurance protects the personal assets of a company’s executives and board members if they are sued for decisions made while running the business. It also covers the company itself in certain cases, helping offset costly legal fees, settlements, or judgments.

Here are 5 reasons why Austin Tech Companies Are Especially Vulnerable

1. Investor Scrutiny – Many Austin startups rely on venture capital and private equity funding. Investors expect transparency and accountability, and claims of mismanagement, breach of fiduciary duty, or misrepresentation can arise quickly.
2. Fast Growth Pressures – Rapid scaling often means hiring quickly, entering new markets, and rolling out innovative products. These decisions, if challenged, could spark shareholder, employee, or customer claims.
3. Regulatory Landscape – Data privacy, cybersecurity, and employment laws are evolving rapidly. Tech companies—especially SaaS, AI, and fintech firms—face heightened regulatory oversight. Executives can be held personally liable for compliance failures.
4. Talent & Culture Risks – In a competitive job market like Austin, employment-related claims around hiring, workplace culture, or wrongful termination can put leadership directly in the spotlight.
5. M&A Activity – Austin’s tech scene is full of mergers and acquisitions. If deals don’t meet expectations, directors and officers are often the first to be named in lawsuits.

Securing D&O insurance isn’t just about protection—it’s also about credibility. Investors, board members, and top-tier executive candidates often expect it before joining a company. Having coverage signals that your business takes governance and leadership accountability seriously, which can be a competitive advantage in Austin’s crowded tech ecosystem. The Austin tech community thrives on innovation and bold leadership. But with growth comes responsibility—and risk. D&O insurance ensures that the people guiding your company can make confident decisions, knowing they’re protected if challenges arise. If I can help with D&O Insurance or any other Business Insurance needs, please feel free to contact me. 

Jason Matison
Commercial Insurance Agent
Austin, Texas