Foreign Worker Medical Insurance (FWMI) Singapore: Employer Guide
Foreign Worker Medical Insurance (FWMI Insurance) is a mandatory health insurance policy required by the Ministry of Manpower (MOM) in Singapore. It provides medical coverage for foreign employees in the event of illness or injury during their employment in Singapore.
MOM’s Requirements for FWMI Insurance in Singapore
Under the MOM regulations, employers must purchase and maintain foreign worker medical insurance for Work Permit and S Pass Holders. Here are the key requirements:
Stage 1
1 July 2023- Minimum coverage of $60,000 per year for each worker
- Coverage must include inpatient care and day surgery, including bills that may not be work-related
- The insurance policy must remain valid throughout the entire employment period
- The cost cannot be passed to the foreign workers
Stage 2
1 July 2025- Standardised Exclusion Clauses: Insurers will adopt a common set of allowable exclusions for greater transparency.
- Age-based Premiums: Premiums are tiered across two age bands: 50 and below, and above 50.
- Direct Hospital Payment: Insurers pay hospitals directly once a claim is admissible, easing the upfront burden on employers and workers.
Non-compliance with these FWMI insurance rules can result in MOM penalties, revocation of work passes, or hiring restrictions.
Foreign Worker Medical Insurance Coverage Limits & Benefits
Minimum Coverage Requirements
Inpatient Care
Minimum coverage per policy year
Outpatient Care
Annual limits for non-hospitalisation treatments
Emergency Treatment
Immediate coverage for urgent medical situations
Personal Accident
Coverage for accidental death and disability
Basic FWMI satisfies MOM's minimum requirements, but minimums are exactly that: a floor, not a fit. Where employers tend to get caught out is in the gaps between what the policy technically covers and what an actual claim looks like. A few areas worth thinking through:
Co-insurance exposure above the basic threshold
Standard FWMI plans meet the $60,000 annual coverage requirement, but the 25% co-payment that kicks in on claims above $15,000 can still leave you with significant out-of-pocket liability on a serious hospitalisation.
Depending on your workforce size and risk profile, a co-insurance waiver rider may be worth the premium difference, or it may not. ANDA runs the numbers either way.
Geographic extension for home leave
If your workforce is in construction, marine, or domestic services, your workers are likely travelling home on rotation.
Basic FWMI generally covers Singapore only. A SEA/South Asia geographic extension keeps cover continuous through home leave, which matters more than it sounds. An accident or illness during that window is not a small problem.
Repatriation of mortal remains
Frequently absent from basic plans, and not a conversation any employer wants to have with a family after the fact.
The cost of arranging this without coverage is substantial, and the timing, when it happens, always seems to land at the worst possible moment. Worth confirming this is in your policy, not assumed.
Pre-existing conditions
Some insurers cover these from day one. Others apply waiting periods of three, six, or twelve months.
The wording varies meaningfully across the panel, and it's the kind of detail that only becomes visible when a claim is filed and declined. ANDA reviews this clause by clause before you commit.
Understanding the 25% Co-Insurance Rule
Foreign Worker Medical Insurance (FWMI) requires a minimum coverage of S$60,000 per worker per policy year. But there's a detail many employers overlook: once a single hospital bill crosses S$15,000, the insurer no longer pays the full amount. Above that threshold, the cost is shared. The insurer covers 75%, and you — the employer — cover the remaining 25% out of pocket. This is known as co-insurance, and it applies to every dollar above S$15,000 up to the policy limit.
A Worked Example
Imagine one of your workers is hospitalised with a bill of S$45,000
- The first S$15,000 is covered in full by the insurer.
- The remaining S$30,000 is split 75/25.
- The insurer pays S$22,500 of that portion. You pay S$7,500.
Total: insurer pays S$37,500, employer pays S$7,500.
For a single incident, S$7,500 is manageable for most businesses. But multiply that across multiple claims in a year, or scale it up for a more serious case, and the numbers change quickly.
The Co-Insurance Waiver Option
Several insurers now offer a co-insurance waiver, an optional rider that eliminates the 25% employer share entirely. With it in place, the insurer covers 100% of eligible costs above S$15,000, right up to the policy limit.
The waiver carries an added premium, and not every provider prices it the same way. As a trusted insurance intermediary, ANDA can compare waiver options across multiple insurers, weigh the premium against your headcount and claims history, and advise whether the rider is genuinely cost-effective for your business.
Is the Waiver Worth It?
We'll be honest with you: for most employers with healthy workers in low-risk roles, the standard FWMI plan is perfectly adequate. Co-insurance payouts are rare, and paying extra for a waiver may not deliver real value. But for industries with higher hospitalisation frequency, such as construction, marine, manufacturing, and logistics, the waiver often pays for itself in a single claim year.
The premium difference is small compared to the potential 25% exposure on a major hospital bill. There's no one-size-fits-all answer. ANDA can run the numbers with you, factoring in your worker profile, industry risk, and past claims, so you can make the call with full visibility rather than guesswork.
The 2025 MOM FWMI Changes
What Employers Need to Action
The Ministry of Manpower's July 2025 revisions to the Foreign Worker Medical Insurance framework are the most substantial in over a decade, and they affect every employer with Work Permit or S Pass holders. If you're reading about these changes for the first time, here's what's now in effect.
Foreign Worker Medical Insurance Application Process
Step-by-Step with ANDA Insurance
Access the Purchase Portal
Access ANDA's foreign worker purchase portal, built specifically for FWMI policies. No more waiting on quotes by appointment — start your application whenever it suits you.
Choose Your Plan
Compare MOM-compliant plans side by side, with pricing and limits listed.
Upload Employer & Worker Details
Enter your company information and upload your worker list in one go. The portal validates entries against MOM requirements as you go, so you catch errors before submission.
Pay & Activate
Complete payment through the portal and receive your MOM-approved policy documentation. Coverage is active, your workers are covered, and your records are ready.
Required Documentation
- Work permit applications or renewals
- Employee’s personal information and medical history
- Employment contracts
- Past insurance coverage details (if applicable)
WICA vs FWMI: A Common Source of Confusion
These two are often confused, and mixing them up can create avoidable costs and compliance issues. While both are compulsory under Singapore law, they serve different purposes.
FWMI covers non-work-related medical expenses, including illnesses, off-duty accidents, and conditions unrelated to employment.
Work Injury Compensation Act applies to work-related injuries and occupational diseases.
Claims: What to Do When a Worker is Hospitalised
When a worker needs hospitalisation, the steps you take in the first 24 hours can determine whether you face a smooth claim or weeks of paperwork. Here's how ANDA supports you through each scenario.
For planned, non-emergency surgery
Request a Letter of Guarantee (LOG) at least 10 days before the scheduled procedure. The LOG confirms to the hospital that the insurer will cover eligible costs directly, so you avoid paying upfront and waiting for reimbursement. ANDA assists with the LOG request from start to finish. We prepare the submission, follow up with the insurer, and ensure the hospital receives it before admission.
For emergency admissions
The LOG process works differently when there's no time to plan. Contact ANDA immediately and we will liaise with the insurer directly on your behalf to arrange guarantee of payment and confirm coverage with the hospital.
Submitting a Claim
Claims must be submitted via the MHCA portal within 30 days of the invoice date. Missing this deadline can result in rejection, regardless of the merits of the claim.
You will need:
- Discharge summary from the hospital
- Original tax invoice
- Copy of the worker's Work Permit or S Pass
If a Claim is Disputed or Rejected
ANDA handles the escalation on your behalf. We review the insurer's reasoning, prepare the supporting evidence, and pursue the matter directly so you're not left negotiating with an insurer alone. This is the difference between buying a policy and being supported by a partner. It's the standard we hold ourselves to on every claim.
Confinement Nanny Insurance in Singapore
In addition to general medical insurance for foreign workers, there is also specialized insurance available for foreign confinement nannies working in Singapore. These nannies are typically hired through confinement nanny agencies to assist families during the postpartum period. Although they are not considered long-term employees, the Ministry of Manpower (MOM) still requires employers to provide adequate confinement nanny insurance coverage for them.
Confinement nanny insurance must be purchased before applying for the temporary work permit and coverage should be valid for the entire duration of the nanny’s stay.
Frequently Asked Questions
about Foreign Worker Medical Insurance (FWMI)
How does the 25% co-payment work and can I eliminate it?
Employers cover the first 25% of any claim above MOM's threshold, with the insurer paying the remaining 75%. The co-payment applies per claim, so a single hospitalisation can be costly. You can eliminate it with a co-payment add-on, which transfers the 25% back to the insurer.
What are the 2025 MOM FWMI changes and do I need to update my policy?
MOM now requires a minimum annual claim limit of S$60,000 per worker, along with revised co-insurance arrangements. Policies issued before these changes may not comply, which can cause issues at Work Permit renewal. ANDA reviews your existing coverage at no cost and flags any gaps.
What is the difference between FWMI and WICA, and which do I claim first?
FWMI covers non-work-related illness and hospitalisation. WICA covers workplace injuries and occupational diseases. The cause of the condition determines which applies. You cannot claim the same incident under both. If you are unsure, ANDA assesses the case and directs the claim correctly.
Can I deduct FWMI premiums or the co-payment from my worker's salary?
No. Under the Employment of Foreign Manpower Act, employers cannot pass premiums, co-payments, or related costs onto workers through deductions, deposits, or informal repayment. Breaches can result in fines and Work Permit revocation.
Are pre-existing conditions covered under FWMI?
Standard FWMI policies typically exclude pre-existing conditions, which is a common reason for claim rejection. Some enhanced plans offer limited coverage after a waiting period.
Contact us for policy quotation, comparison and unbiased advice now!