Foreign worker medical insurance, often shortened to FWMI, is the mandatory medical cover an employer must hold for each Work Permit and S Pass holder it employs. It meets the cost of non-work-related hospitalisation and surgery for migrant workers, and the Ministry of Manpower will not issue or renew a permit without it. It is a separate requirement from the security bond and from work injury compensation, and it has changed in recent years. We arrange foreign worker medical insurance that meets the current requirements and keeps your hiring compliant.
What foreign worker medical insurance covers
Foreign worker medical insurance covers the cost of inpatient hospitalisation and day surgery for illness or injury that is not work-related, for each Work Permit and S Pass holder, including migrant domestic workers. It exists because foreign workers are not entitled to the healthcare subsidies available to residents, and without it an employer would carry the full cost of a worker's hospital bill. The cover is held by the employer on the worker's behalf, and details must be submitted to MOM before the permit can be issued or renewed.
The minimum cover and how costs are shared
MOM sets the minimum annual coverage at S$60,000 per worker, raised from S$15,000 with effect from 1 July 2023 to keep pace with rising medical costs. Above a threshold, the cost of a claim is shared: for the portion of a claim exceeding S$15,000, the insurer meets 75 per cent and the employer contributes 25 per cent. The S$60,000 minimum is a floor rather than a ceiling, and employers may arrange higher limits where the nature of their workforce warrants it.
Options that reduce the employer's exposure
The standard structure leaves the employer carrying a share of a large claim, but that exposure can be reduced. Many insurers offer a co-payment waiver, under which the insurer meets the full cost above the threshold rather than the employer contributing its 25 per cent, removing the out-of-pocket share on a significant claim. Some also apply the limit on a per-disability basis rather than as a single annual amount, so that one major claim does not exhaust the year's cover for a later, unrelated condition. Both options exist to shield the employer from the cost of a serious or repeated claim, and which is appropriate depends on the workforce and the budget.
What changed in 2025
A second phase of changes took effect from 1 July 2025. Premiums are now age-differentiated, separating workers aged 50 and below from those above 50. Insurers are required to reimburse hospitals directly on an admissible claim, rather than the worker or employer paying upfront and claiming back. And exclusion clauses have been standardised across insurers, so that the conditions a policy can exclude are consistent and easier to compare. The practical effect is that a policy arranged before these changes may no longer meet the current requirements, which makes the renewal an important point to check.
Foreign worker medical insurance and work injury compensation are different
These two are frequently confused, and they cover different things. Foreign worker medical insurance responds to illness and injury that is not related to work. Work injury compensation insurance, required under the Work Injury Compensation Act (WICA), responds to injury and illness that arises from the job. A worker who falls ill at home and a worker injured on site are dealt with under different policies, and an employer of Work Permit holders doing manual work generally needs both.
Who needs it
Any employer of Work Permit or S Pass holders must hold foreign worker medical insurance for each of them, including migrant domestic workers. The requirement applies per worker and must be maintained throughout employment, so it scales with the size of your foreign workforce and must be renewed alongside each permit.
Where the exposure sits
The decisions that matter are compliance and the balance the employer still carries. A policy must meet the current minimum and the standardised terms, so confirming at each renewal that the cover is up to date is essential, particularly after the 2025 changes. The cover meets non-work-related hospital and surgical costs, but an employer remains responsible for medical expenses that fall outside it, which is one reason many choose limits above the minimum. Declaring the correct headcount and submitting details to MOM on time are the other points where compliance is decided. Reviewing the limit, the currency of the terms, and the submission is where the protection is settled.
How we structure it
We arrange foreign worker medical insurance with our appointed insurers to meet MOM's current requirements, submit the details so the permit can be issued or renewed, and review the cover at each renewal as the rules and your workforce change. Where it is needed, we arrange the security bond and work injury compensation cover alongside it, so the full set of obligations is met together. We remain your point of contact if a claim arises. The aim is compliant cover, kept current, with the related requirements handled in one place.