Employees’ compensation insurance (ECI)
Employees’ compensation insurance (ECI)
EMPLOYEE COMPENSATION INSURANCE
Under Hong Kong law, all employers are legally required to have Employee’s Compensation (EC) Insurance to cover their liability if an employee is injured or falls ill due to work-related activities.
This insurance, commonly known as EC Insurance, is mandatory for all employers in Hong Kong—regardless of whether their workers are full-time, part-time, temporary, or under an apprenticeship or contract of service. No matter the nature or scope of employment, if you hire someone, you must have a valid Employee’s Compensation Insurance policy in place.
Employee Compensation
Employees’ Compensation Insurance in Hong Kong: What Employers Must Know
As Hong Kong’s leading insurance brokers, we help businesses navigate the complexities of mandatory Employees’ Compensation coverage with confidence.
The Legal Framework
Hong Kong law requires all employers to carry Employees’ Compensation insurance that covers:
- Work-related injuries and illnesses
- Death benefits
- Permanent disability (total or partial)
- Medical expenses
- Lost wages during recovery
| Type | Limits | Current Limits | New Limits |
|---|---|---|---|
| Death | Maximum | $225,000 | $269,000 |
| Maximum | $76,000 | $91,000 | |
| Permanent Incapacity (PI) [1] | Maximum | $289,000 | $346,000 |
| Maximum | $97,000 | $116,000 | |
| Medical Expenses | $45,000 or medical expenses incurred up to 1 year from the date of the accident, whichever is reached first | $53,000 or medical expenses incurred up to 1 year from the date of the accident, whichever is reached first |
Understanding Coverage Limits
While compensation amounts vary based on:
✓ Employee’s age
✓ Monthly earnings
✓ Nature of injury
✓ Length of employment
Most policies we arrange provide HK$100 million coverage per incident – ensuring you’re fully protected against even the most significant claims.
Why Proper Coverage Matters
- Legal Compliance – Avoid penalties of up to HK$100,000 and potential imprisonment
- Financial Protection – Shield your business from unexpected liability costs
- Employee Assurance – Demonstrate your commitment to workplace safety
How ION Help
Our brokerage specialists:
- Analyze your specific workforce risks
- Secure comprehensive coverage at competitive rates
- Ensure full compliance with Hong Kong’s evolving regulations
- Provide ongoing policy management and claims support
Understanding Coverage Limits
Hong Kong Employees’ Compensation Insurance FAQs
By law, employers must notify their insurer within 14 days of any work-related injury/illness. Delays may result in penalties or claim disputes. Our team expedites this process with 24/7 claims support.
Yes. The ordinance applies to all workers employed in Hong Kong, regardless of nationality or visa status. This includes part-time staff and foreign domestic helpers (FDHs). We help tailor coverage for diverse workforces.
Policy adjustments are often needed when:
- Headcount increases
- Job risks change (e.g., switching to manual labor)
- Employee salaries are revised
- We proactively review policies during renewal and offer mid-term adjustments.
Enquire
Send us a message when we would be glad to assist you.
