Document name
Interest on Benefits Accruing from Successful Appeals
Document number
POL 03/2023

Effective date: May 1, 2023

Application: Applies to all successful claim appeal decisions on or after the effective date that exceed the respective timelines for review.

Policy subject: Reconsiderations and appeals

Purpose:

To establish guidelines for issuing interest on successful appeals.

BACKGROUND

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If a successful claim appeal decision for a worker or their dependant is delayed, The Workers’ Compensation Act, 2013 (the “Act”) authorizes the WCB to expend funds for any purposes that the board considers necessary to carry out the intent of the Act (Section 115). Delays in appeal decisions could cause workers or dependant's financial hardship, therefore interest is issued on successful appeals in recognition of potential hardship.

POLICY

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  1. The WCB strives to issue written claim appeal decisions in accordance with the following timelines:
    1. Appeals – 30 calendar days from when the Appeals Department receives the appeal.
    2. Board Appeal Tribunal – 120 calendar days from when Board Services receives the appeal.
  2. If a successful appeal decision is delayed beyond the timeframes noted above, the WCB may issue interest based on earnings loss benefits payable as a result of the decision. Earnings loss benefits are based on the worker’s gross earnings up to the maximum insurable amount and include short-term and long-term benefits or commutation payable under the Act.
  3. The WCB may issue interest based on earnings loss benefits payable as a result of the decision as follows:
    1. Appeals – From the 31st calendar day from when Appeals receives the appeal to and including the day the WCB pays earnings loss benefits because of the successful appeal decision.
    2. Board Appeal Tribunal – From the 121st calendar day from when Board Services receives the appeal to and including the day the WCB pays earnings loss benefits because of the successful appeal decision.
  4. In exceptional circumstances, determined on a case by case basis, where there is missing or insufficient information on an appeal request, the WCB may use the date an appeal is registered for determining interest eligibility.
  5. When an appeal request is submitted to the WCB, but not directed to Appeals/Board Appeal Tribunal, the WCB may consider the appeal to have been received on the date it was initially submitted to the WCB.
  6. The WCB will only issue interest if the delay is a result of factors outside of the worker’s control (e.g., backlogs at the WCB). The WCB will not issue interest if the delay is caused by the worker, their representative, or the Office of the Workers’ Advocate.
  7. The WCB will issue interest to the:
    1. Worker.
    2. Worker’s estate.
    3. Dependent spouse (when Sections 81 or 93 apply), or
    4. Other dependants (when Section 93 applies).
  8. If earnings loss benefits are awarded as a result of a successful appeal by Appeals/Board Appeal Tribunal, no interest will be payable where an employer continues to pay the worker’s salary (POL 04/2016, Salary Continuance). In such cases, no interest will be payable to either party.
  9. Interest on earnings loss benefits will not be payable upon a decision arising from a successful Medical Review Panel as delays in arranging a Panel with external physicians are generally outside of the WCB’s control.
  10. The rate of interest is the Bank of Nova Scotia's prime rate on the date the WCB issues the interest payment.

Policy references

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Legislative Authority

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Document History

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  1. POL 14/2016, Interest on Benefits Accruing from Successful Appeals (effective August 1, 2016 to April 30, 2023).
  2. POL 05/2003, Interest on Benefits Accruing from Successful Appeals (effective June 1, 2003 to July 31, 2016).
  3. POL 02/1994, Interest on Benefits Accruing from Successful Appeals (effective January 1, 1994 to May 31, 2003).

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Complements

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