What changed in WICA on 1 November 2025?
The Answer in 60 Seconds From 1 November 2025, the maximum compensation limits under the Work Injury Compensation Act rose for the first time since 2020. Death compensation increased from S$225,000 to S$269,000 (about 19% higher); permanent incapacity from S$289,000 to S$346,000 (about 19% higher); and medical expenses from S$45,000 to S$53,000 (about 17% higher). The change was announced by MOM on 8 February 2024 and applies to accidents occurring on or after 1 November 2025.
The Sourced Detail
WICA is Singapore's no-fault compensation framework for work injuries and occupational diseases. Under WICA, an injured employee — local or foreign, regardless of salary — does not need to prove fault to claim compensation. In return, payouts are capped by formula. Those caps are reviewed periodically. The 2025 update is the first since 1 January 2020.
What was actually changed
Per the MOM announcement of 8 February 2024:
| Compensation type | Pre-1 Nov 2025 | From 1 Nov 2025 |
|---|---|---|
| Death — minimum | S$76,000 | S$91,000 |
| Death — maximum | S$225,000 | S$269,000 |
| Total permanent incapacity — minimum | S$97,000 | S$116,000 |
| Total permanent incapacity — maximum | S$289,000 | S$346,000 |
| Medical expenses (per accident, 1 year) | S$45,000 | S$53,000 |
Who pays the difference
WICA liability sits with the employer. Under WICA 2019, employers must maintain a Work Injury Compensation Insurance policy issued by an MOM-designated insurer for all manual workers (regardless of salary) and all non-manual workers earning S$2,600/month or less. Approved WICA 2019 policies must comply with MOM's compulsory terms. Because the statutory limits are baked into the compulsory policy wording, existing WICA insurance policies automatically uplift to the new limits for accidents on or after 1 November 2025.
This is important: SMEs do not need to amend their policy wording or buy a new product to capture the higher limits. Insurers update the limits at law. However, premiums may rise at renewal because insurers price to the new exposure.
What the limits cover
Per the MOM types of compensation page:
- Medical leave wages : full Average Monthly Earnings during MC days, capped at one year from accident or S$53,000 (whichever is reached first), from 1 Nov 2025.
- Permanent incapacity (PI) : a lump sum based on age, average monthly earnings, and percentage of incapacity, with the new minimum of S$116,000 and the new maximum of S$346,000 for total PI.
- Death : minimum S$91,000; maximum S$269,000 from 1 Nov 2025.
The triennial-review context
MOM's stated policy, per the press release, is to review WICA limits roughly every three to five years to keep pace with wage growth and healthcare inflation. The 2020-to-2025 gap was wider than usual. A further occupational-disease list update took effect on 1 December 2025, harmonising 38 reportable diseases under both WSHA and WICA.
What this means for premiums
Insurers price WICA on payroll, headcount, occupation class, and claims experience. With the maximum severity claim cost rising about 19% on death/PI and 17% on medical, insurers reasonably expect higher loss costs at renewal. Per the Allegiance Insurance Brokers commentary, "employers should expect higher insurance costs regardless of claims history" — broker commentary, not an MOM forecast.
What This Means for Your Business
If your renewal cycle straddles 1 November 2025, your insurer will quote on the new limits. Three practical points.
First, review job declarations. WICA premium hinges on accurate occupation classification per MOM's WICA insurance guidance. Under-declaring (e.g., classifying a forklift driver as office staff) creates two risks: a denied claim under the recovery clause, and an exposed business covering the gap from cash. The Liberty Singapore guide explains the recovery mechanism.
Second, rebuild your incident playbook around the new numbers. Internally, your finance team budgets contingency reserves; HR drafts notification templates; legal advises on common-law liability above the WICA cap. Each of those numbers needs updating.
Third, clarify your common-law exposure. WICA caps the no-fault statutory liability. It does not cap common-law liability for negligence. An employee who can prove employer negligence may sue at common law, where damages are uncapped. Many businesses buy a separate Employer's Liability extension or standalone policy to address this. An IFA on the COVA platform can walk through the gap between statutory and common-law exposure for your specific industry.
Questions to Ask Your Adviser
- With effect from 1 Nov 2025, has my insurer's compulsory policy wording been updated to reflect the new limits, or do I receive an endorsement at renewal?
- What is my premium delta for the same headcount, payroll and occupation mix versus my last renewal?
- Where does my common-law (employer's liability) exposure sit relative to the new WICA caps, and is there a gap between WICA and any common-law extension I hold?
- Are any of my employees currently mis-classified between manual / non-manual / >S$2,600 categories?
- Does my current insurer remain on the MOM-designated list for the renewal period?
Related Information
- MOM Designated Insurer List 2026 — What's New
- Platform Workers Act — Full Commencement 1 January 2025
- Workplace Fairness Act 2025 — EPLI Implications
Published 3 May 2026. Source verified 3 May 2026. COVA is an introducer under MAS Notice FAA-N02. We do not recommend insurance products. We provide factual information sourced from primary regulators and route you to a licensed IFA who can match a policy to your specific situation.