An Act Eliminating Undue Delay In The Payment Of Workers' Compensation Awards.
If enacted, this bill would significantly impact the operational processes within the workers' compensation framework in the state. It aims to reduce the frequency of delays in payments, which can cause financial strain on individuals awaiting compensation for work-related injuries. By imposing a financial penalty on those responsible for delays, the bill is anticipated to incentivize quicker compliance with payment obligations, ultimately fostering a more efficient and responsive workers' compensation system.
House Bill 05952 seeks to address the issue of undue delays in the payment of workers' compensation awards. The bill proposes amendments to the general statutes that would mandate a penalty for the losing party in a workers' compensation case if they are found in violation of timely payment obligations. Specifically, the measure introduces a daily fine of $250 for each day that the payment is delayed beyond the stipulated timeframe following a ruling in favor of the winning party.
There may be points of contention relating to the enforcement of the penalty provision. Some stakeholders might raise concerns about the implications of imposing daily penalties on employers or insurers, particularly regarding their financial burden and the potential for litigation over what constitutes an 'undue delay.' Discussions may also arise about how the bill could be implemented in practice, with emphasis on defining thresholds for delay and ensuring fairness in adjudicating cases where penalties are enforced.