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California Labor Code Section 4650: Penalties for Late Temporary Total Disability Payments

Employees get hurt on the job every day throughout California. Some of those injuries are serious, and employees suffer temporary total disability. That’s just one of the reasons why California employers are required to carry workers’ compensation insurance coverage. An employee can be temporarily and totally disabled for months after an injury. The employer’s workers’ compensation insurer must compensate that employee in accordance with the law within 14 days of acquiring knowledge of the injury, unless liability is earlier denied. Pursuant to Section 4650 of the California Labor Code, those payments must be made every two weeks after the first payment. If those payments aren’t made on a timely basis, an additional 10% of the overdue payment is due.

Unreasonable Delays

If nonpayment persists on a valid workers’ compensation temporary total disability claim, it could be determined to be unreasonably delayed. Whether a delay is unreasonable depends on the specific facts of a case. If a payment is determined to be unreasonable, the penalty can increase to 25% of the overdue payment or $10,000, whichever is less. Should an insurer learn of its tardiness before a late claim is made by the injured employee, the penalty is only 10%, so long as it is paid within 90 days of the day that the employer learned of it. The penalty is based on the amount that was not properly paid.

If you’ve been temporarily disabled as a result of a work-related injury, and you continue to await disability payments, contact us for a consultation with a knowledgeable and skilled lawyer from our lawoffice. Workers’ compensation laws have been put in place for your benefit.

Contact our California Labor and Employment Lawyers today.