Section 62-6-3 - Insurer to file copy of injury report with department--Notice of denial of coverage byinsurer or employer--Suspension, revocation, or refusal of authority fornoncompliance. - South Dakota Statutes

62-6-3. Insurer to file copy of injury report with department--Notice of denial of coverage by insurer or employer--Suspension, revocation, or refusal of authority for noncompliance. The insurer shall file a copy of the report required by § 62-6-2 with the Department of Labor within ten days after receipt thereof.
The insurer or, if the employer is self-insured, the employer, shall make an investigation of the claim and shall notify the injured employee and the department, in writing, within twenty days from its receipt of the report, if it denies coverage in whole or in part. This period may be extended not to exceed a total of thirty additional days by the department upon a proper showing that there is insufficient time to investigate the conditions surrounding the happening of the accident or the circumstances of coverage. If the insurer or self-insurer denies coverage in whole or in part, it shall state the reasons therefor and notify the claimant of the right to a hearing under § 62-7-12. The director of the Division of Insurance, or the secretary of labor if the employer is self-insured, may suspend, revoke, or refuse to renew the certificate of authority, or may suspend or revoke all certificates of authority granted under Title 58 to any company or employer which fails, refuses, or neglects to comply with the provisions of this section. A company or employer which fails, refuses, or neglects to comply with the provisions of this section is also subject to an administrative fine of one hundred dollars payable to the Department of Labor for each act of noncompliance, unless the company or employer had good cause for noncompliance.

Source: SDC 1939, § 64.0505; SL 1970, ch 281; SL 1980, ch 365, § 2; SL 1994, ch 396, § 15.