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Changes in Carrier Penalties - Chapter 635, Laws of 1996


Chapter 635, Laws of 1996, amended the Workers' Compensation Law with respect to the penalties which may be imposed by the Board upon carriers or employers for certain violations. Shown below are the amended penalties, which are effective September 10, 1996 and apply to pending proceedings where no penalty has yet been assessed. The exception is the amendment to Section 25-3(d), which applies only to claims filed after January 1, 1997.

VIOLATION and PENALTY

Section 25-1(d)

Failure of carrier or employer to file a Form C-8, Notice That Payment Of Compensation Has Been Stopped or Modified, within 16 days after compensation has been paid.

Section 25-1(e)

Failure of employer or carrier to pay compensation installment within 25 days after same became due.

Section 25-2(a)

Failure of carrier to file Form C-7, Notice of Controversy, or begin compensation payments within 18 days after disability or within 10 days after knowledge or within 10 days after receipt of notice (Form C-2) by carrier, whichever period is greater.

Section 25-2(c)

Employer or carrier has objected to an award without just cause.

Section 25-3(d)

Frivolous adjournment of "expedited case".

In addition to the above changes, Section 25-2b(g) [Failure of carrier to make payments required by conciliation decision within 10 days of the date the proposed decision becomes final] was redesignated as Section 25-2b(h).