Penalty Petitions in Pennsylvania Workers’ Compensation Cases

September 15, 2025
Tomas Sanchez
Medical billing statement with stethoscope and calculator symbolizing insurance company violations in Pennsylvania workers’ compensation cases and penalty petitions.

If you were hurt at work in Pennsylvania, your employer and their workers’ compensation insurance company are required to follow the Pennsylvania Workers’ Compensation Act. These rules ensure that you receive wage-loss checks on time and that your medical bills are paid. But what happens when the insurance company ignores the law?

In Pennsylvania, injured workers can file a penalty petition. This legal tool allows you to bring violations before a workers’ compensation judge. If the judge agrees with you, they can order the insurance company to correct the issue and even pay a penalty for breaking the law.

What Is a Penalty Petition in Pennsylvania Workers’ Comp?

A penalty petition is a formal complaint you file with the court when the insurance company or your employer fails to comply with the Pennsylvania Workers’ Compensation Act. Any violation of the Act can result in a penalty.

You may have grounds to file a penalty petition if:

  • Your workers’ compensation checks are late or missing
  • Benefits stop without explanation
  • Your doctor’s bills are not paid
  • The insurer fails to send required paperwork
  • The insurance company ignores a judge’s order

If the judge finds that the insurance company violated the law, they can impose penalties in addition to requiring payment of overdue benefits.

How Much Is the Penalty in a Workers’ Compensation Case?

Pennsylvania law gives workers’ compensation judges the discretion to decide whether to impose penalties and how much to award. Penalties can range from 10% to as much as 50% of the benefits owed.

  • For smaller or unintentional violations, a judge might award around 10%
  • For serious or intentional violations, penalties can reach the maximum of 50%

This penalty is added on top of the wage-loss benefits and medical payments you are already entitled to.

What Mistakes Lead to Penalties in Workers’ Compensation?

While any violation of the Act may qualify, the most common reasons for penalty petitions in Pennsylvania include:

  • Late or missing workers’ compensation checks
  • Stopping payments without explanation
  • Failure to send legally required forms
  • Ignoring a judge’s order, such as failing to pay a settlement on time

When these violations happen repeatedly or cause serious harm, judges are more likely to award penalties.

How Does Filing a Penalty Petition Work?

Here’s how the process typically works:

  1. Filing the petition – You submit a written statement explaining how the insurance company violated the law.
  2. The hearing – Both you and the insurance company present your sides to a workers’ compensation judge.
  3. The decision – The judge may order the insurance company to:
    • Pay overdue benefits
    • Resume stopped benefits
    • Pay an additional penalty of up to 50%

Do Judges Always Award Penalties?

Not always. Sometimes a judge orders the insurance company to correct the violation but chooses not to impose a financial penalty. Whether you receive a penalty depends on how serious the violation was and how well it is documented. Even if no penalty is awarded, filing a petition can protect your rights and put pressure on the insurance company to follow the law.

Example: Late Settlement Check in Pennsylvania

If a workers’ compensation settlement is approved, the insurance company typically has 30 days to issue payment. If they mail the check late, you may be entitled to a penalty. Judges review the mailing date, not the date printed on the check, so it is important to save the envelope as proof.

Protecting Your Rights After a Work Injury

If you suspect your employer or their workers’ compensation insurance company isn’t following the law, you can take steps to protect yourself:

  • Save everything – Keep copies of checks, letters, and postmarked envelopes
  • Track dates – Write down when payments arrive and when bills are paid
  • Speak with a lawyer – A workers’ compensation lawyer in Philadelphia can help you file a strong penalty petition and present your case to a judge

Talk to Stern & Cohen: Experienced Pennsylvania Workers’ Comp Lawyers

At Stern & Cohen, we fight to make sure injured workers are treated fairly. You shouldn’t have to chase after benefits or wait for medical bills to be paid. If the insurance company violates the law, our attorneys will hold them accountable.

If you think your employer or their insurer isn’t following the Pennsylvania Workers’ Compensation Act, contact us today. Our Philadelphia workers’ compensation lawyers will protect your rights and make sure you get the full benefits you deserve.

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