In which type of insurance can an insurer not decline a legitimate claim based on late notification?

In Employers Liability Insurance, insurers are generally compelled to honor legitimate claims regardless of delays in notification, provided that the delays are not unreasonable and do not significantly hinder the investigation or settlement of the claim. This characteristic is often related to the nature of the coverage, as employers liability insurance is designed to protect employees who may sustain injuries or illnesses in the workplace. The underlying principle is rooted in protecting workers' rights and ensuring they have access to the necessary benefits or compensation promptly, even if there was a delay in reporting the incident.

In contrast, other types of insurance, like Property Insurance, Life Insurance, and Automobile Insurance, often contain specific clauses that allow insurers to decline claims if the insured person fails to notify the insurer within a stipulated timeframe. This is typically designed to ensure that claims are reported while evidence is fresh and to protect against fraudulent claims. Therefore, the nature of Employers Liability Insurance's coverage is particularly beneficial to the insured, emphasizing timely protection for employees regardless of administrative delays.