When New Jersey law requires double compensation be paid for a Workers Compensation claim, the extra amount is paid solely by which entity?

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Multiple Choice

When New Jersey law requires double compensation be paid for a Workers Compensation claim, the extra amount is paid solely by which entity?

Explanation:
Double compensation is a penalty placed on the employer for failing to comply with workers’ compensation requirements. Because it’s a sanction tied to the employer’s misconduct, the extra amount is paid from the employer’s own funds, not from the insurer, the state, or the worker. The insurer is responsible for the regular benefits under the policy, while penalties or double damages are an additional liability the employer must cover.

Double compensation is a penalty placed on the employer for failing to comply with workers’ compensation requirements. Because it’s a sanction tied to the employer’s misconduct, the extra amount is paid from the employer’s own funds, not from the insurer, the state, or the worker. The insurer is responsible for the regular benefits under the policy, while penalties or double damages are an additional liability the employer must cover.

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