Work Injury Compensation & Employer’s Liability Insurance in SG

Commercial Insurance

This policy also known as employers’ liability insurance, covers the legal liability of employers to pay compensation to their employees who suffered work-related injuries, occupational illness or diseases including covid-19, in accordance to the Work Injury Compensation Act (WICA).

Should the injured employee choose to pursue a civil suit against the employer under common law for damages, the policy will indemnify the employer for legal defence cost and damages awarded by the courts.

Who needs to be insured?

It is compulsory for the following to be covered:

  • All employees doing manual work regardless of their monthly earnings
  • All employees doing non-manual work, earning less than S$2,600/month

However, employers may choose to insure all their employees to protect their liability as an employer. Note that in the event of a valid claim, employers are required to compensate the injured employee regardless of whether they are insured. As such, it is prudent to insure all employees for effective corporate risk management.

More key changes and updates to the Work Injury Compensation Act (WICA) in 2020 for a mutually beneficial claims process for both employers and employees can be found here.

What is covered?

The following types of benefit compensation can be claimed under WICA:

  • Medical leave wages calculated based on the injured employee’s average monthly earnings (AME) for days where the injured employee is issued with the following due to the work injury or disease:
    • Outpatient medical leave (MC)
    • Hospitalisation leave
  • Medical expenses incurred due to the work injury or disease. Some examples of medical expenses include:
    • Cost of medication
    • Medical consultation fees
    • Medical treatment and report fees
    • Cost of surgery and surgery appliances
    • Emergency medical transport charges (ambulance fees)
    • Physiotherapy, Occupational Therapy and Traditional Chinese Medicine (TCM) only if prescribed and billed by a Singapore registered medical practitioner/doctor
  • Lump sum compensation for:
    • Death
    • Permanent incapacity (based on doctor’s assessment)

How is the premium determined?

The premium payable depends on the following factors:

  • Business type, nature of business
  • The employees’ job scope
  • Estimated annual earnings of employees
  • Claims history
  • Place(s) of employment

Claim Examples:

WICA Claim:

A retail sales assistant in an optical shop suffered a slipped disc while moving boxes of saline solution.  He incurred medical expenses of $10,500 and was given a total of 37 days medical leave (Outpatient and hospitalisation leave). Both medical expenses and medical leave wages were reimbursed to the company. In addition, MOM in their notice of assessment also ordered a compensation of $27,000 for permanent incapacity to be paid to the injured employee.

Common law claim:

A construction worker was performing welding works at a construction site. While carrying a heavy steel rod, he lost his balance and fell heavily to the ground. As a result, he suffered fracture of the distal tibia and distal fibula. He sued his employer and the main contractor under common law alleging that they were negligent and have failed in their duty of care to ensure a safe working environment. He claimed for pain and suffering, loss of amenities, future medical expenses and special damages totaling $75,000.

Other Services you may require:

We also provide the following services to address the other requirements in relation to the employment of foreign workers:

How can we help?

We go through a systematic process to gather pertinent information to help avoid common pitfalls in arranging for cover. With this information, we work with insurers to put together a comprehensive cover with competitive pricing for your business. Read more about Work Injury Compensation in Singapore here.

For a quotation or more information, please contact us at 6513 6984 or
email: client.service@allegiance.com.sg

Contact Us!



Our Testimonials


Thank you for the professional advice and awesome service you guys have provided us for our commercial insurance all these years. Keep up the good work!
Mr Nelson Tan
Audiosports Technologies

Hi Jing Ning and team, thanks very much for all your advice and assistance with our recent claim. Thank you also for your patience in ensuring all the paperwork were in order before submission. I can't imagine having to file the claim on our own.
Mr Kelvin See
Infinity Drive Pte Ltd

Very responsive and professional in handling our employee’s work injury claim, many thanks!
Mr George Fu
Rei Promax Technologies Pte Ltd

Been engaging their service on company vehicle, foreign workers, company insurance for the past 4 years and will definitely continue to do so. Thank you for the good advice and assistance with our company insurance. I also want to commend Alice for her good customer service; always courteous, detail oriented in ensuring our insurances and security bonds are processed in a timely manner.
Mr Quek Qiwen
Nam Wah Long Pte Ltd

We have been using Allegiance for our business insurance needs for coming to 12 years now. The service and pricing have always been good and dealing with them is always easy.
Mr Jeffrey Chua
Austinco Enterprise Pte Ltd

Ms Rachel (Thao TP Nguyen)
Best Industrial Pte Ltd

Mr Kane Mcquinn
ATLAS AQUACULTURE PTE LTD

Allegiance Pte Ltd is my go-to for my company's insurance. Rick and his team always out-do themselves. They are fast, efficient and most importantly, always have a solution to my problems.
Ms Mandy Lim
AM Recruitment Pte Ltd

Lydia was instrumental in organizing our policy, demonstrating a comprehensive understanding of the various offerings and how they relate to our business sector. Her persistent dedication to customer service coupled with her client-centered approach is beyond commendable.
Mr Kit Ng
KITA Singapore

Exceptional Insurance Expertise and Customer Service at Allegiance I had the fantastic experience of working with Rick from Allegiance, and I cannot recommend him highly enough. From the very beginning, he demonstrated exceptional patience and attentiveness, taking the time to understand my insurance needs and preferences. His knowledge of the industry is impressive, and he was able to provide clear explanations and guidance throughout the entire process. Since my initial engagement with Rick, I have transferred all of my company insurance policies under his management, and the experience has been nothing short of outstanding. His professionalism and dedication to customer satisfaction make him a trusted advisor in the insurance space. In addition to my own positive experience, I have also recommended Rick to several friends, who have all been equally impressed with his work. His ability to build strong relationships and provide tailored solutions has earned him the loyalty and appreciation of many clients. If you are in need of insurance services, I highly recommend reaching out to Rick at Allegiance. His expertise, commitment, and personable working style will ensure that your insurance needs are met with the utmost care and efficiency.
Mr Ronald Soh
Win-Pro Consultancy Pte Ltd

Very good service. Deserved a 5-star rating
Mr Kenneth Lim
Brighton Steel Engineering Pte Ltd

Most of our company’s insurance is done by Allegiance. Helps that I know the boss :-), but regardless, their team and their service is outstanding. Not sure of anything insurance, give them a holler, they’re there to help. Assign them as your insurers, no headache! Thanks Allegiance!!!
Mr Aberdeen Madina
Eatz Catering Pte Ltd

Rick and team has assisted me in my insurance needs over many years, be it WP/Vehicle/Biz/Travel/Home insurance. They are responsive to my request and always there to give On-Point-Advice on claims, and also which policy best suits my needs. They also provided timely reminders to us busy biz owners, for renewal so that our policies do not lapsed. HIGHLY RECOMMENDED for you busy professionals, so that you can have Peace of Mind doing what you do best :)
Sean Tan
MusicGear Pte Ltd

Thank you very much for the prompt service and advice for our company insurance. Appreciate your patience and assistance rendered for our recent work injury insurance claim. Awesome service!
Ms Ashley Lee
Moducase Pte Ltd

We have been working with Allegiance for more than 10 years. They have been very efficient and have been giving us the best options and proposal to our requirements. Great works, Allegiance Pte Ltd !
Mr Kelvin Teo
JP Concept Pte Ltd

We’ve been working with Allegiance Pte Ltd as our corporate insurance vendor for 4 years, and we couldn’t be happier. Their team is knowledgeable, competent, and responsive. Whenever we’ve needed to make claims, they’ve been there to guide us through the process. Highly recommended!
Mrs Jolene Umberfield
Premium Care SG Pte Ltd

Allegiance is our reliable partner and has been assisting our clients with their foreign worker medical and work injury compensation insurance needs. They are knowledgeable and efficient in their dealings. Thank you for your support!
Ms Anna Tran
Authentic HR Consultancy LLP

We had an excellent experience with the team. Their response time was incredibly quick, and communication was clear and helpful throughout:)
Ms Sherry Zhuang
WIN GO PTE LTD

I had an urgent renovation coming up which required me to submit a workmen compensation and public liability insurance certificate, and I needed it extremely urgently. Every other company I checked either put me through a computerized answering system, or to leave my inquiry on their website with no idea how long it'll take for them to get back to me... but Rick and Windy got it done in less than an hour.

3.45pm - Called up Allegiance, Rick answered, gave clear instructions on what I needed to email them with.

4.00pm - Emailed my request over

4.22pm - received quotation, made payment

4.38pm - received the policy for submitting to my condo management

Thanks again Rick Seah & Windy Bong, you saved me today!
Mr Lau Lee Tung
Home Owner

Allegiance has been our trusted insurance partner since 2022. Their assistance, advice, and support have consistently met our expectations for reliability. We have no plans to switch to another insurance company, as we are highly satisfied with their services. Keep up the great work, Windy Bong and Rick Seah and the rest of the team!
Mr Suresh Kumar
Applied Protection Pte Ltd

Thanks a lot to Regina Ding, I am a new customer here and asked a lot of questions for my insurance, she kindly explainrf to me and provided me clear information.
Mr Li Fei
Beyond M&E Pte Ltd

Exceptional service with unbeatable deals, providing better insurance coverage tailored to my needs. They think ahead and consider possibilities beyond what I could ever imagine.
Ms Yong Shunyi
Able Pack (S) Pte Ltd

I’ve had an exceptional experience with Allegiance. From the very first interaction, their team was professional and knowledgeable. They took the time to explain my policy in detail, ensuring I understood everything before moving forward.

The process was simple and seamless.

Highly recommend Allegiance to anyone looking for reliable and trustworthy insurance coverage. They truly go above and beyond.
Ms Winnie Tay
ARKVANGUARD PRIVATE LIMITED

I am extremely satisfied with the service provided by Allegiance Pte Ltd. Their team is incredibly professional, friendly, and always ready to help. The claims process was fast, easy, and stress-free, which is exactly what I needed during a difficult time. The premiums are reasonable, and the coverage options are flexible, catering to all my needs. I feel secure knowing that I’m in good hands with this company. I highly recommend them to anyone looking for reliable and trustworthy insurance services!
Ms Grace Deng
C9 Trading Enterprises Pte Ltd

Usually, we purchase our company's insurance from Windy. I will say Windy is very professional and responsive. She never fails to support all our questions and requests. Apart from that Rick was also very patient and helpful when we have any enquiries about the policies. Highly recommended and trustworthy!
Mr Daniel Goh
Adeptwerks Pte Ltd

Thank you, Allegiance team, for helping us with our Motor Trade, commercial insurance, public liability and WICA insurance for our employees.
They are fast, responsive and great value. Look for Allegiance for all your general insurance needs.
Mr Karthik James
Noto Motor Pte Ltd


Frequently Asked Questions (FAQs) on Work Injury/Workmen Compensation Insurance

Employers need to buy Work Injury Compensation insurance for all employees doing manual work (regardless of salary level), as well as all non-manual work employees earning $2,600 or below per month.

Work Injury Compensation Insurance must be purchased for both local and foreign employees. Failure to provide adequate insurance is an offence carrying a fine of up to $10,000 or jail of up to 12 months, or both.

From 1 January 2021, all WIC insurance policies must be issued by a designated insurer and must comply with MOM’s compulsory terms.

This policy, also known as employers’ liability insurance, covers the legal liability of employers to pay compensation to their employees who suffered work-related injuries, occupational illness, or diseases in accordance with the Work Injury Compensation Act (WICA). Should the injured employee choose to pursue a civil suit against the employer under common law for damages, the policy will indemnify the employer for legal defence cost and damages awarded by the courts. The main difference between making a WICA claim and a Common law claim is that the latter requires the employee to prove that the employer was negligent or at fault.

There are 3 types of benefit compensation that can be claimed under WICA:

Medical Leave Wages calculated based on the injured employee’s average monthly earnings (AME) for days where the injured employee is issued with the following due to the work injury or disease: Outpatient medical leave (MC) and Hospitalisation leave.

Medical Expenses incurred due to the work injury or occupational disease.

Lump Sum Compensation for: Death, Permanent incapacity (based on doctor’s assessment).

The Work Injury Compensation Act (WICA) does not cover the following: Independent contractors, Self-employed persons, Domestic workers, and Uniformed personnel [e.g., Members of the Singapore Armed Forces (SAF), Singapore Police Force (SPF), Singapore Civil Defence Force (SCDF), Central Narcotics Bureau (CNB) and Singapore Prison Service (SPS)].

Depending on the type of compensation, the claimable amount differs.

Medical Leave Wages: For hospital leave, the injured employee will be compensated their average monthly earnings up to 60 days. Form the 61st day to 1 year of accident, the compensation will be 2/3 of their average monthly earnings. If the employee is on outpatient MC or light duties, the injured employee will be compensated their average monthly earnings or actual wages, whichever is higher, up to 14 days. From 15th day to 1 year of accident, the compensation will be 2/3 of their average monthly earnings or actual wages, whichever is higher. Do note that public holidays, non-working days, and rest days are excluded from the number of days of medical leave under the Work Injury Compensation Act. Effective 1 Sep 2020, employees on light duties due to work injuries will be compensated for their lost earnings based on their Average Monthly Earnings. Calculate your Medical Leave Wage here.

Medical Expenses: the employer will be responsible for all eligible medical expenses incurred up to $45,000 or 1 year from the date of accident, whichever comes first. Employees can only claim these medical expenses if the treatment is prescribed and billed by a Singapore registered medical practitioner.

Lump Sum Compensation in the event of permanent incapacity: the compensation payable is limited to minimum and maximum amounts of: Minimum Compensation = $97,000 X (% of Permanent Incapacity). Maximum Compensation = $289,000 X (% of Permanent Incapacity). If the doctor awards 100% Permanent Incapacity, the injured employee will receive an additional 25% on top of the compensation amount. Estimate the compensation here.

Lump Sum Compensation in the event of death: family members or dependents of the employee may receive a lump sum compensation. To calculate compensation amount: Compensation Payable = Employee’s Average Monthly Earnings X Age Multiplying Factor. The compensation payable is limited to the minimum and maximum as follows: Minimum Compensation = $76,000. Maximum Compensation = $225,000. Estimate the compensation here.

The premium payable depends on the following factors: Nature of business, Employees’ job scope, Estimated annual earnings of employees, Claims history, and Place(s) of employment.

Employees who sustain workplace injuries can either file for a claim under the Work Injury Compensation Act (WICA) or common law, but not both. One of the key differences is that claims under common law require a lawyer, while a claim under WICA does not require a lawyer.

As an eligible employee, you can file for a claim under the Work Injury Compensation Act (WICA) if:

  • You sustain an injury arising from and during your course of employment – e.g. during working hours or while on official duties
  • You contract an Occupational Disease
  • You contract a disease as a result of exposure to biological or chemical agents while at work
  • You meet with an accident while travelling as a passenger on a vehicle operated by or on behalf of your employer and the vehicle is not public transport

Yes, work injury compensation insurance will cover employees who contract diseases from biological agents, including Covid-19 if it arose out of and in the course of work.

However, it will not cover employees who contracted the disease through non-work activities or exposure.

Yes, employees must notify their employers when they suffer a work injury, or when they are confirmed to have contracted an occupational disease. Employers must be notified as soon as possible. Failure to give prompt notice may delay the employee’s WIC claim.

You can check the claim status if you are a party to a work injury claim: employee, employee’s dependent, employer, insurer or legal representative. Checking of the claim status only starts once you receive a case reference number.

The 3 ways to check the status of a work injury claim are:

The employee, employer or the insurer can dispute a work injury claim within 14 days from date of the Notice of Assessment (NOA) and the dispute must be filed within this period. It usually takes 2 to 4 months but for disputes that need to be heard before the Assistant Commissioner (Work Injury Compensation), it may take longer.

There are two main types of disputes you can file in a work injury claim: Objection to a permanent incapacity assessment, and other objections e.g., whether an injury or disease was work-related or whether the average monthly earnings (AME) indicated in the NOA is correct.

More information can be found here.

Most claims will be assessed within 6 months of accident. For injuries that may require more time to stabilise before a doctor can assess for permanent incapacity, assessment may take longer.

No, an employer cannot deduct or reclaim the cost of insurance premiums from an employee’s compensation claim.

From 1 Sep 2020, insurers have ceased to offer project work injury compensation insurance policies to avoid duplication of cover that often leads to delay and dispute when claims arise. Employers must get annual Work Injury Compensation insurance for their employees. Under WICA, the employer’s insurance policy is responsible for claims when there are multiple policies in force. Project insurance does not cover all instances of work injury, and employers may be charged for non-insurance if their employees are only covered under project WIC policies.



Work Injury Compensation Insurance