Who must have WICA insurance
Under the Work Injury Compensation Act 2019 (WICA), Singapore employers must insure every manual worker regardless of salary, and every non-manual worker earning S$2,600 or less per month. The Act defines a manual worker broadly — anyone whose duties involve physical labour, including cleaners, drivers, technicians, security officers, kitchen staff, warehouse workers and site personnel.
Penalties for failing to maintain WICA insurance are set by the Act: a fine of up to S$10,000 and / or imprisonment of up to 12 months. The Ministry of Manpower also publishes the names of employers prosecuted for WICA non-compliance.
What WICA insurance covers
WICA insurance is a no-fault scheme. The injured worker (or family) is entitled to:
- Medical expenses up to S$45,000 or one year from the date of accident, whichever is reached first.
- Medical leave wages at the rate set in the Sixth Schedule of the Act — full average monthly earnings for the first 14 days of outpatient medical leave or 60 days of hospitalisation, then two-thirds thereafter.
- Lump-sum compensation for permanent incapacity or death, calculated under the formula in the Act — capped by statute and revised periodically.
The compensation amounts above are the minimum set by statute. Some insurers offer policies that exceed statutory limits, or that bundle WICA with employers' liability cover to pick up claims that fall outside the WICA scheme.
Who is exempt
WICA does not apply to:
- Domestic workers, who are covered separately under the Employment of Foreign Manpower Act.
- Uniformed personnel of the SAF, Police Force, Civil Defence Force and Prison Service.
- Self-employed persons and independent contractors.
- Non-manual employees earning more than S$2,600 per month (although you may choose to insure them voluntarily).
How premiums are calculated
WICA premiums are charged as a percentage of insured wage roll, rated against trade classification, claims history and headcount. Indicative bands:
- Office and administrative work — a fraction of one percent of payroll.
- Retail, F&B service and light delivery — low single-digit percent.
- Construction, marine, manufacturing and high-risk trades — mid to high single-digit percent.
Quotes from different insurers can vary materially because each insurer applies its own trade-class rate table and own loss-experience loading. Comparing three to four quotes at renewal is normal.
When to compare insurers
WICA policies are annual. Consider comparing at:
- Renewal — 30 to 60 days before the policy expiry.
- Material change — new sector, M&A, materially different headcount or trade mix.
- After a large claim — if your existing insurer applies a loaded renewal, the market may be more competitive than they assume.