Work Injury Compensation Insurance

Work Injury Compensation Insurance
10/06/2016 No Comments Products admin

Work Injury Compensation Act

Employers are required under WICA to maintain work injury compensation insurance for (i) all employees doing manual work and (ii) non-manual employees earning $1,600 or less a month. Failure to do so is an offence punishable by a maximum fine of $10,000 and/or imprisonment of up to 12 months.

Work Injury Compensation Insurance

  • Medical Leave Wages
  • Medical Expenses
  • Permanent Incapacity or Death (Lump Sum Compensation)
More Details

What is the Work Injury Compensation Act?

The Work Injury Compensation Act (WICA) provides injured employees with a low-cost and expeditious alternative to common law to settle compensation claims.

To claim under WICA, the employee only needs to prove that he was injured in a work accident or suffered a disease due to his work. Engaging a lawyer is not required to file a WICA claim. Under WICA, the employer (or employer’s insurer) is liable to pay the compensation regardless of who caused the accident/disease, and even after the employment has ceased or the Work Pass (of a foreign worker) has been cancelled. The amount of compensation is computed based on a fixed formula and is subjected to caps. Dependents of deceased employees are also eligible to claim Work Injury Compensation.

Alternatively, the employee can file a civil suit against the negligent party under common law for damages. However, to succeed, he and his lawyer will need to prove that the employer or a third party had caused the injury. He will also need to substantiate the amount of damages before the Courts, and damages are not capped.

An injured employee can claim from either WICA or common law, but not from both.

For more information on WICA, please click here.

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