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Problems with your claim

Delays, late payments and penalties

By the CalCompGuide editorial team · Last updated November 2026 · How we write and check guides

Short answer

California law punishes insurers that pay late or stall without a good reason. A late disability payment is automatically increased by 10% (Labor Code §4650(d)). If benefits are unreasonably delayed or refused, a judge can add a penalty of up to 25% of the delayed benefit, up to $10,000 (Labor Code §5814). You can also complain to the DWC Audit Unit.

Common delays

  • No first TD check within 14 days of the employer learning about the injury and your disability.
  • Gaps between biweekly payments.
  • PD advances not started within 14 days after TD ended, when PD is evident.
  • Approved treatment not scheduled, or medical bills and mileage not reimbursed.
  • No decision on the claim within 90 days of the DWC-1.

The automatic 10% increase

If a TD or PD payment isn't made on time and the insurer didn't have a valid reason, the late payment must be increased by 10%, paid to you without a court order (LC §4650(d)).

The LC §5814 penalty

For unreasonable delay or refusal of any benefit, including medical treatment, the WCAB can increase the delayed amount by up to 25%, capped at $10,000 per incident (LC §5814). "Unreasonable" means the insurer had no genuine doubt, legal or medical, about owing the benefit. You raise it with a petition for penalties (I&A guide 21) or at a hearing.

What to do when your claim stalls

  1. Write to the adjuster. Email is fine. State what's late, since when, and ask for payment or a written reason by a specific date. Keep it short and factual.
  2. Keep a log of calls and emails: date, who, what was said.
  3. Escalate to the supervisor if there's no answer within a few business days.
  4. Call DWC Information & Assistance (1-800-736-7401) for help contacting the claims administrator.
  5. File a complaint with the DWC Audit Unit for repeated problems.
  6. Request an expedited hearing at the WCAB for TD or medical disputes (filed with a Declaration of Readiness). An attorney can do this for you.

Keep your own records tight

Delays often start with missing paperwork: a work status report the adjuster didn't receive, or a mileage form without dates. Send your doctor's work status notes to the adjuster yourself after each visit, and keep proof of what you sent.

Key numbers

  • First TD payment: 14 days; then every 2 weeks.
  • Late payment: +10% automatically.
  • Unreasonable delay: up to 25%, max $10,000.
  • Claim decision: 90 days after the DWC-1.

Sources

Official sources checked November 2026. Laws and rates change; check the source for the latest version.

Related guides

This guide is general information, not legal advice. Every case is different. For free help from the state, call the DWC Information & Assistance unit at 1-800-736-7401.