69-11-426. Processing of claims for damage. (1) Carriers must acknowledge receipt of each claim within 30 days and promptly investigate each claim and either pay or decline the claim within 120 days from the date of receipt thereof or provide an explanation for the delay in disposition. An assertion that the claim is still being investigated shall not constitute sufficient explanation.
(2) In the event a claimant or a carrier successfully prosecutes or defends a claim for loss or damage under 69-11-421 through 69-11-426, wherein it is alleged the carrier has not disposed of the claim within 120 days or explained the delay and the claimant has inquired of the carrier regarding the delay, in writing, within the 120-day period, then the court exercising jurisdiction may, at its discretion, award reasonable attorney fees to the successful party, but not to exceed $500.