There was a time when employers who were unsure whether a claim is compensable would not want to pay any benefits to the claimant for fear that it would be considered an acceptance of the claim, or constitute an “advance payment of compensation.” Oftentimes, they would ultimately be stuck with the claim because they had insufficient information to properly deny it and prevail at trial. However, the 1996 workers’ compensation reform legislation implemented a change to assist employers with this problem: New York Workers’ Compensation Law (NY WCL) § 21-a. This statute has addressed and resolved this concern for many employers, especially those in the construction industry.
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