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Can my migrant worker pay for their medical treatment if it costs more than the medical insurance payout?

To help employers better manage the risks of paying large sums of money for your migrant worker’s medical expenses, MOM requires you to buy medical insurance of a minimum coverage for your Work Permit holders and S Pass holders, before you are allowed to employ them.

You are encouraged to buy insurance with a higher coverage to protect yourself from any excessive medical bills.

If the cost of medical treatment exceeds the coverage of the medical insurance, you can mutually agree with your migrant worker to co-pay part of the cost of treatment. You can only do this if:

  • The amount to be paid by the worker does not exceed 10% of his or her monthly salary.
  • The period of co-payment does not exceed 6 months.
  • The co-payment option is explicitly stated in the employment contract or collective agreement and has the worker’s full consent.

If your arrangement is to deduct from workers’ salary, you must also write in to MOM to seek permission before making the deduction.

  • You must not pass on the cost of purchasing the medical insurance to your Work Permit or S Pass holders.
  • For work injuries, you must first fulfil your responsibilities under the Work Injury Compensation Act (WICA) before having a co-payment arrangement with your migrant worker.