If a claimant does not comply with the requirements of section 275 , the court before which the claimant brings a proceeding for damages—
(a) on the application of the insurer, may award in the insurer’s favour costs, including legal and investigation costs, reasonably incurred by the insurer because of the claimant’s default; and
(b) may award interest in the claimant’s favour for a period for which the claimant was in default but only if the court is satisfied that there is a reasonable excuse for the default.