Happy Friday Team,
The weekend is almost here! By special request, this week’s tip covers how to know when the late fee for past due income benefits is 15% vs. 20%.
JOHN’S GEORGIA TIP OF THE WEEK: Penalty for Late Income Benefits – is it 15% or 20%??
It depends on if the income benefits are payable pursuant to a Judge’s Award!
Rule:
- If any income benefits payable without an award are not paid when due, there shall be added to the accrued income benefits an amount equal to 15%. O.C.G.A. 34-9-221(e).
- If income benefits payable under the terms of an award are not paid within 20 days of the date of the Award, there shall be added to the accrued income benefits an amount equal to 20%. O.C.G.A. 34-9-221(f).
Examples:
- John injures his knee at work, but the E/I controverts the claim. After a hearing, the Judge issues an Award granting the Claimant’s request for past due TTD benefits which the E/I fails to pay within 20 days.
- The TTD benefits were payable under the terms of the Award, so the late fee is 20%.
- John sustained a compensable knee injury at work and is taken out of work by his authorized treating physician, but the E/I mistakenly fails to commence TTD benefits for two months.
- The TTD benefits were payable without an award, so the late fee is 15%.
As always, feel free to reach out if you run into any GA questions/concerns or if you find yourself in the Atlanta area around lunchtime!
Sincerely,
John Fennelly | Junior Partner