39-71-107. Insurers to act promptly on claims. (1) Pursuant to the public policy stated in 39-71-105, prompt claims handling practices are necessary to provide appropriate service to injured workers, to employers, and to providers who are the customers of the workers' compensation system.
     (2) An insurer shall provide to the claimant:
     (a) a written statement of the reasons that a claim is being denied at the time of denial;
     (b) whenever benefits requested by a claimant are denied, a written explanation of how the claimant may appeal an insurer's decision; and
     (c) a written explanation of the amount of wage loss benefits being paid to the claimant, along with an explanation of the calculation used to compute those benefits. The explanation must be sent within 7 days of the initial payment of the benefit.
     (3) An insurer shall:
     (a) begin making payments that are due on a claim within 14 days of acceptance of the claim, unless the insurer promptly notifies the claimant that the insurer needs additional information in order to begin paying benefits and specifies the information needed; and
     (b) pay settlements within 30 days of the date the department issues an order approving the settlement.
     (4) An insurer may not make payments pursuant to 39-71-608 or any other reservation of rights for more than 90 days without:
     (a) written consent of the claimant; or
     (b) approval of the department.
     (5) The department may adopt rules to implement this section.

     History: En. Sec. 4, Ch. 243, L. 1995.