Contribution rate of employees participating in voluntary occupational accident insurance in Vietnam from January 1, 2025

Contribution rate of employees participating in voluntary occupational accident insurance in Vietnam from January 1, 2025​ (Image from Internet)

The Government of Vietnam issued Decree 143/2024/ND-CP on November 1, 2024, regulating voluntary occupational accident insurance for employees not covered by a labor contract.

02 voluntary occupational accident insurance policies from January 1, 2025 in Vietnam

According to Article 4 of Decree 143/2024/ND-CP, employees participating in voluntary occupational accident insurance will benefit from 02 policies as follows:

- Assessment of the reduction in working capacity.

- Occupational accident allowance.

Contribution rate of employees participating in voluntary occupational accident insurance in Vietnam

Pursuant to Decree 143/2024/ND-CP, the contribution rate of employees participating in voluntary occupational accident insurance in Vietnam are as follows:

- A 6-month contribution equivalent to 6% of the minimum monthly wage for Region IV;

- A 12-month contribution equivalent to 12% of the minimum monthly wage for Region IV.

According to the currently applied regional minimum salaries as specified in Decree 74/2024/ND-CP, the minimum monthly wage for Region IV is 3,450,000 VND/month.

Therefore, the voluntary occupational accident insurance contribution from January 1, 2025, based on the above-mentioned regional minimum wage would be as follows:

- A 6-month contribution of 6% of the minimum monthly wage for Region IV = 207,000 VND.

- A 12-month contribution of 12% of the minimum monthly wage for Region IV = 414,000 VND.

Notes:

- Eployees participating in voluntary occupational accident insurance can register with the social insurance agency for one of the following payment methods:

+ Pay every 6 months;

+ Pay every 12 months.

Participants in voluntary occupational accident insurance can change their payment method after completing the previously registered payment cycle.

- The timing for paying occupational accident insurance:

+ For the first time, immediately upon registering for voluntary occupational accident insurance;

+ For subsequent payments, within 10 days before the end of the payment cycle.

+ Immediately upon re-registering for voluntary occupational accident insurance according to Article 17 of Decree 143/2024/ND-CP.

(Article 11 of Decree 143/2024/ND-CP)

Conditions for receiving voluntary occupational accident insurance benefits in Vietnam

Employees currently participating in voluntary occupational accident insurance are entitled to benefits under the following conditions:

- A reduction in working capacity of 5% or more due to occupational accidents during the period of participation in voluntary occupational accident insurance;

- The accident did not result from the following causes:

+ The victim's personal conflict with the accident perpetrator that is unrelated to work duties;

+ Intentional self-harm by the employee;

+ Use of illegal drugs or narcotics contrary to legal regulations.

(Article 5 of Decree 143/2024/ND-CP)

Rights of employees participating in voluntary occupational accident insurance in Vietnam

According to Article 32 of Decree 143/2024/ND-CP, employees participating in voluntary occupational accident insurance have the following rights:

- To participate in and enjoy social insurance benefits as stipulated in this Decree.

- To be issued and manage a social insurance book.

- To receive full and timely voluntary occupational accident insurance benefits through one of the following payment methods:

+ Directly from the social insurance agency or a service organization authorized by the social insurance agency;

+ Through the employee's bank payment account.

- To authorize another person to receive voluntary occupational accident insurance benefits.

- To have the social insurance agency provide information on social insurance contributions and benefits.

- To receive state financial support for voluntary occupational accident insurance contributions as stipulated in Decree 143/2024/ND-CP.

- To lodge complaints, denunciations, and initiate lawsuits on social insurance issues in accordance with the law.

More details can be found in Decree 143/2024/ND-CP effective from January 1, 2025.

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