• Welcome to Korea Workers’ Compensation & Welfare Service
  • K-COMWEL contributes to the improvement of workers quality of life through optimal
    workers' compensation programs, rehabilitation supports and welfare improvements.
  • Application & Collection

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    • Application & Collection
    • What kinds of workplaces shall be a member of the WCI, and what procedures are required to be covered by the WCI?
      Any kinds of workplaces with at least one worker (an employer not included) shall be mandatorily covered by the WCI. An employer shall submit documents evidencing insurance relations to a branch office of the COMWEL with jurisdiction over the place where his/her workplace is located, within 14 days after the day he/she has employed at least one worker (or after the day of ground-breaking for a construction project).

      The amount of premiums in accordance with the WCI shall be reported and paid within March 31 (or 70 days after the day any insurance relations come into existence if they do so during the insurance year) to the COMWEL; they shall be paid in a bank account or by telegraphic transfer. It's possible to pay them in up to four installments, depending on the time insurance relations have been formed.

      Premiums due to a workplace shall be calculated by multiplying the total amount of wages by premium factor ranging from 7/1,000 to 553/1,000, depending on the risk level of the same workplace.

      To facilitate the reporting of insurance application and collection, the COMWEL has simplified documentary requirements to be submitted; actually, it's possible to submit them on the Internet or by fax. Currently, the insured employer could pay premiums everywhere where it's possible to use credit cards and the Internet.

    • What kinds of workers shall be covered by the WCI?
      Workers on a temporary or part-time basis or any others as provide by the Labor Standards Act shall be mandatorily by the WCI.
    • What is the difference between the extinguishment and termination of insurance relations in accordance with the WCI?
      The reporting of the extinguishment of insurance relations in accordance with the WCI refers to the reporting by an employer to the COMWEL to put insurance relations to an end because of the discontinuation of his/her business or the closing of his/her workplace, or in case one year has passed since the day he/she has employed no worker longer.

      An application for the termination of insurance relations in accordance with the WCI may be submitted by an employer to the COMWEL when he/she has engaged in a business that isn't mandatorily covered by the WCI, one year after any insurance relations were formed.

      Insurance relations in accordance with the WCI shall be extinguished or terminated on either of the following days:

      - The day a business has been discontinued or a workplace has been closed;
      - The day of one year after the day an employer has employed no worker longer;
      - The day the COMWEL has given an approval of an application for the termination of the insurance relations;
      - The day the COMWEL has given a notice of an award of the extinguishment of insurance relations at its own discretion; or
      - The day a construction project has been put to end
    • What kinds of benefits is a worker covered by the WCI eligible for when he/she has been exposed to any work-related accident(s)?
      The WCI shall provide any of Medical Care Benefits, Temporary Disability Benefits, Injury-Disease Compensation Annuity, Permanent Disability Benefits, and Nursing Benefits he/she has been awarded to be eligible for. If he/she has died due to the same work-related accident, his/her survivors shall be paid Survivors' Benefits and Funeral Expenses; however, they shall have been dependent on him/her for a living at the time of his/her death.
    • Are there any penalties related to non-coverage?
      If an employer hasn't been insured against the WCI within a given period although his/her employees shall be mandatorily covered by the WCI, he/she may be given various penalties.

      If he/she hasn't reported any documentary requirements within a given period after there happened a work-related accident, as high as 50% of WCI benefits related to the same accident shall be borne by the non-defaulting employer.

      If an insured employer has paid his/her due premiums after a given period, the amount corresponding to 1.2% of non-paid premiums per month shall continue to be imposed on the non-defaulting employer until he/she has paid the same premiums. 10% of non-premiums will be imposed on an employer who didn't report the amount of estimated premiums within a given period.

      Contact us for any more details at 1588-0075 or www.kcomwel.or.kr

    • What are requirements for a privately operated construction project subject to mandatory coverage in accordance with the WCI?
      A privately operated construction project that totals up to KRW 20 million or higher in terms of project costs and covers more than 330m2 in floor area shall be mandatorily covered by the WCI.
    • On what basis shall the amount of premiums due to a privately operated construction project be estimated?
      Since all project costs attributed to a privately operated construction project could neither be itemized nor lack in objectivity, the amount of premiums borne by a privately operated construction project shall be estimated in accordance with the Standards on Privately Operated Construction Project Costs (as announced by the Minister of Labor).
    • When shall a privately operated construction project report and pay the amount of estimated premiums?
      A privately operated construction project that meets requirements as provided by the WCI must shall report its coverage in the WCI within 14 days after it's been started up, and report and pay the amount of estimated premiums within 70 days after such start-ups.
    • What are requirements for a construction project subject to a mandatory coverage in accordance with the WCI?
      All construction projects undertaken by a person licensed to engage in construction business shall be mandatorily covered by the WCI. On the other hand, a person not licensed to engage in construction business shall meet requirements (with 330m2 or higher in floor area and KRW 20 million or higher in project costs) to be mandatorily covered by the WCI.
    • What does 'project costs' refer to?
      Project costs refer to the total amount of money as specified in a contract entered into to carry out a construction project. The costs of materials provided by either of the parties who placed an order will be contained in the same total amount; however, the amount of value added tax shall be excluded.
    • Who is responsible for reporting and paying insurance premiums for a construction project?
      The first subcontractor who received an order from a contractor shall be responsible for reporting and paying premiums which shall be estimated by multiplying labor costs (out of the total costs) by premium factor. If it is difficult to estimate actual labor costs, the alternative ones as announced by the Minister of Labor shall be used.
    • When shall a subcontractor report and pay the amount of estimated and fixed premiums?
      A subcontractor shall report insurance relations to a branch office (of the COMWEL) with jurisdiction over a place where a construction project has been undertaken within 14 days after it's started, and report and pay the amount of estimated premiums calculated as specified above within 70 days after it's started. When the project has been put to an end, the subcontractor shall report the extinguishment of insurance relations within 14 days after such an end, and report and pay the amount of fixed premiums calculated using actually paid labor costs within 30 days after the same end.
    • What are the procedures to follow in paying premiums?
      An insured employer shall pay premiums at a bank, or using credit cards or the Internet after receiving a statement of premium payment; so called 'One-Stop Services' that enable the integrated payment of premiums in accordance with EI and WCI is available since January 30, 2004.
    • When shall an insured employer pay premiums?
      An insured employer shall report and pay the amount of estimated premiums as calculated by multiplying the amount of estimated wages in total by premium factor, and then pay the amount of premiums underpaid or receive the amount of premiums overpaid, based on the amount of fixed premiums calculated by multiplying the amount of wages in total already paid in the previous year by premium factor within Mar 31.
    • What penalties will an insured employer get unless he/she pay his/her due premiums?
      If an insured employer hasn't paid the amount of premiums within a given period as specified by the related laws, he/she shall pay penalties amounting to 10% of the same amount. If he/she hasn't paid the amount of estimated and fixed premiums within a given day as specified by the related law, 12/1,000 of the amount of premiums unpaid will be imposed as arrearages on him/her every three months for up to 36 months since the given period.
    • Are there any other penalties than additional dues or arrearages related to an insured employer's non-payment of premiums?
      If an insured employer's worker with work-related injuries or diseases has been awarded to be eligible for related benefits during the employer's non-payment of his/her due premiums, 10% of the same benefits to be paid to the employee may be imposed as fines on the same employer.
    • What disadvantages will an employee have if his/her employer hasn't paid premiums?
      Since it's an employer that has an obligation to report and pay premiums, his/here employee may not be given any disadvantages due to the employer's non-payment of premiums; that is, an employee with work-related injuries or diseases is eligible for related benefits, regardless of his/her employer's non-payment of premiums.
    • How is the amount of premiums determined?
      The amount of premiums in accordance with the WCI is determined by type of industry every year under the Ordinance of the Minister of Labor, based on the ratio of the total amount of insurance benefits to the total amount of wages for the past three years from September 30, the amount spent in paying insurance benefits to beneficiaries, including payments in annuity, and any other costs spent on the prevention of occupational diseases and injuries and the promotion of workers' welfare.
    • What is premium factor by type of industry for the year 2008?
      Premium factor for the year 2008 in accordance with the WCI shall be determined on a basis of individual risks related to 61 types of industries. Premium factor for coal mining sector, for example, is the highest (489/1,000). And such sectors as finance & insurance, computer operation, legal & accounting services, health & social welfare services are the lowest (7/1,000).