Dear Foreign workers & HR managers,
This is the National Labor Consultation Center.
We would like to provide information regarding Casualty insurance and Industrial Accident Compensation Insurance(IACI) as follows:
Q: 1) Is the casualty insurance the same to Industrial Accident Compensation Insurance?
2) Is the casualty insurance compulsory for all foreign workers?
3) How much does a foreigner need to pay for the casualty insurance?
4) How to pay the casualty insurance?
5) How to claim if a foreign worker gets injured during work?
6) How much does a foreign worker receive?
- Casualty insurance is an insurance that a forieign worker should take out in order to insure him/her against injuries or diseases other than those by occupational accidents. However Industrial Accident Compensation Insurance(IACI) is a social insurance that an employer shall take out for an occupationally ill or injured employees to provide compensation. Therefore, two insurance are different.
- Under the current EPS, all foreign worker shall take out a casualty insurance within 15 days of the effective date of his/her labor contract.
According to the IACI Act, an employer hiring one or more employees shall take out IACI.
Regarding Q3) & q4)
- Insurance premium of Casualty insurance amounts to 20,000 won ~ 50,000 won per 3 years. For more information, please, contact the Samsung Fire & Maritime Insurance Corp at 02-2119-2400.
Regarding Q5) & Q6)
- Under the IACI, when a worker contracts a disease or sustains an injury that is related to his/her work and requires 4 days or longer of medical care, he/she should apply for approval of compensable medical treatment to the branch office of Korea Labor Welfare Corporation. The application form for initial medical care should be submitted to the Comwel branch office having hurisdiction over his/her employer. The blank application form is available at a Comwel branch office or a Comwel-accredited medical institution or can be downloaded at the Comwel website(www.kcomwel.or.kr 02-2670-0319, english available)
- However, in case of an employee sustains an injury related to his work that requies less than 4 days, his/her employer has responsibility for accidents compensation for medical treatment and suspension work allowance(70% of ordinary wages) according to the Labor Standards Act.