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California: Division considers penalties for reporting violations
The Division of Workers' Compensation proposed regulations providing for the assessment of administrative penalties for workers' compensation information system reporting violations.
The proposed regulations provide a schedule of penalties capped at $5,000 against a claims administrator in any given year. The schedule provides for no more than $100 per violation for violations where a mandatory report is not submitted or not accepted and no more than $50 per violation for violations involving specific errors or late filings. The rules provide threshold rates of violations that are excluded from the calculation of penalty assessments. The rules also state that the division is required to publish an annual report on the compliance of claims administrators. Read more at the WorkersComp Forum homepage.
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