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Changes to Work Injury Compensation Act in 2020

The changes to the Work Injury Compensation Act (WICA) will take effect in 2020. WICA 2019 requires insurers to process all insured claims. This enables a faster and simpler claims process that benefits everyone.

Key changes to WICA

  • Changes in compensation and medical expenses limits.
  • Expand mandatory insurance coverage to non-manual employees, regardless of where they work.
  • Expand scope of compensation to include light duties.
  • Compulsory reporting for any instance of medical leave or light duties issued for work accident.
Check out our infographic on WICA 2019 to find out about other changes.

Changes in compensation and medical expenses limits

From 1 January 2020, the following will be increased. These will apply to work accidents that happen from 1 January 2020.

You had an accident on 28 December 2019, but you made your medical expense claim on 1 January 2020.

 

Your maximum compensation limits will be up to $36,000, as the accident happened before 1 January 2020.

Compensation for death

  Before 1 Jan 2020 From 1 Jan 2020
Minimum $69,000 $76,000
Maximum $204,000 $225,000

Compensation for total permanent incapacity

  Before 1 Jan 2020 From 1 Jan 2020
Minimum $88,000 $97,000
Maximum $262,000 $289,000

Maximum limit for medical expenses

Before 1 Jan 2020 From 1 Jan 2020
Up to maximum of $36,000, or up to 1 year from date of accident, whichever comes first. Up to maximum of $45,000, or up to 1 year from date of accident, whichever comes first.

Expand mandatory insurance coverage for non-manual employees

From 1 April 2020, the salary threshold for non-manual employees requiring work injury compensation insurance will be increased. The increase will be done in 2 phases.

Employers must still purchase insurance for all manual employees, regardless of salary.

  Before 1 Apr 2020 From 1 Apr 2020 From 1 Apr 2021
Salary threshold for non-manual employees $1,600 $2,100 $2,600

Compensation to include light duties

Currently, employees on light duties due to work injuries are not compensated under WICA.

However, from 1 September 2020, employees on light duties due to work injuries will be compensated for their lost earnings based on their Average Monthly Earnings (AME).

Employees on outpatient or hospitalisation sick leave will continue to be compensated for their lost earnings.

Compulsory reporting for all medical leave or light duties

From 1 September 2020, employers must report all work-related medical leave or light duties to MOM.

More info

For more info, you can refer to: