Work Injury Compensation Act (WICA)

You cannot predict how or when is your worker going to get injured at the workplace. Regardless of the injury severity, a workplace injury can have a significant impact on your operations as it can lead to slower productivity and lost income.

Moreover, it is compulsory for employers to purchase a Work Injury Compensation (WICA) Insurance for their employees, if they fall under the specified categories listed by Ministry of Manpower (MOM) website.

Did you know?

Even if your employee does not belong to the listed categories, you are still liable to compensate your employee if he suffers an accidental injury or medical condition due to work, regardless of who was at fault.

Therefore, as long as the employee is engaged under a contract of service, regardless of salary, age, nationality or whether he is a local or foreigner, it is strongly advised that the employer should cover the employees with Work Injury Compensation Insurance.

So what is covered under WICA?

In the event where the employee is injured during work, WICA allows them to claim for medical leave wages and medical expenses. In worst case scenarios,if the employee dies because of an accidental injury at work, or suffers a permanent disability, WICA allows them or their dependents to claim a lump sum compensation.

For more information on the type of compensation, please click here.

The most effective way to manage one’s risks is to reduce the probability of happening as much as possible. One way to reduce your risks as an employer is to implement proper safety rules and procedures in the working environment. Another way is that you can always transfer the risks by getting a WICA insurance for your employees as it will help you to cover your liability if your employee were to claim against you.