Industrial Accident Compensation

Chapter 1. Understanding Industrial Accident Compensation Insurance

III. Covering an Accident through Industrial Accident Compensation Insurance and Procedures for Compensation

A. Covering an Accident through IACI
Industrial accident compensation is commissioned to and handled by the Employee Welfare Corporation under the Ministry of Employment and Labor. The ill or injured employee shall apply to the district office of the Employee Welfare Corporation for the benefits by filling out the necessary form, “Application for Medical Care Benefits,” and having the employer sign the form as confirmation. However, if there is a conflict with the company about whether or not to recognize an industrial accident, the employee concerned can apply directly without the employer’s signature on the form. In cases where a serious industrial accident has occurred, the employer shall report to the Ministry of Employment and Labor immediately, while for minor industrial accidents, the employer shall submit an Occupational Accident Report Form to the district Labor Office within one month from the date the accident occurred. For accidents that are very clearly occupational, only two or three weeks are necessary to receive confirmation as an industrial accident and the related compensation. However, for occupational illnesses, it will take a minimum of two months for confirmation as such. The procedures for determining whether an accident or illness is occupational are: Application for medical care benefits, Confirmation of illness details, Analysis of relationship between working environment and illness, Confirmation of advisory medical doctor's opinion, and Approval or rejection by the Occupational Illness Deliberation Committee.

B. Compensation Procedures under the IACI Act
As with a relief application for remedy against unfair dismissal, in the event that the application is not accepted at a branch office of the Employee Welfare Corporation, the employee may bring an administrative suit without requesting an examination to the headquarters of the Corporation or a review by the IACI Examination Committee. In general, the request for an examination and request for review are processed rapidly and economically, but initial applications are usually denied, whereas administrative suits are more commonly accepted, though they take much longer and cost more.

For further questions, please
call (+82) 2-539-0098 or email bongsoo@k-labor.com

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