What penalty can an insurer face for late reporting of a claim?

The penalty that an insurer can face for late reporting of a claim, specifically in the context of West Virginia workers' compensation laws, is a fine not to exceed $500 per occurrence. This penalty serves as a mechanism to ensure compliance with the timely reporting requirements established in the workers' compensation regulations.

Timely reporting is crucial in workers' compensation as it affects the injured party's access to benefits and can influence the overall efficiency of the claims process. The imposition of this fine emphasizes the importance of adhering to prescribed timelines and helps to underscore the insurer's responsibility in managing claims effectively.

Although there are other potential repercussions for insurers, such as increased scrutiny or administrative actions, the specific fine of up to $500 per occurrence is established as a direct consequence for the failure to report claims in a timely manner, reflecting the regulatory environment aimed at protecting the interests of workers.