Insurance

Do you worry about what might happen if you or your loved one falls sick or gets into an accident? Unlike your friends who might work for a company that pays for insurance for them, you might not have the same safety net as a self-employed worker.

 

So, you could think about getting your own insurance to protect you from having to pay high bills if something unexpected happens to you, or  having to go into debt to pay for those bills. This can be an accident, injury, illness or death. Insurance will also help make sure your family or dependants can get financial assistance if you become disabled or pass away and cannot take care of them anymore.

 

To understand more about insurance, you can read our Guides on:

 

Medical insurance
Life insurance
What you need to know about insurance

 

You could also opt for microinsurance plans as a more affordable option for lower and shorter coverage.

 

Self-employed workers who work for e-hailing platforms may also receive insurance coverage, depending on the platform, so check with your respective platform to see if you’re eligible.

 

 

Getting started

If you don’t already have insurance, here are some tips to help you get started on protecting yourself medically and financially:

 

  1. Check if your platform provider or industry requires you to be insured. Certain industries like e-hailing may be regulated and have requirements for insurance. For example, e-hailing insurance is mandatory for e-hailing drivers. You can apply for a plan on your own, or if your platform provider has their own plans, you can opt for that instead.
  2. Figure out how much you can afford to spend on insurance. Look at your budget (See, we told you to in the beginning that it’s important to plan your budget!) and see how much you can set aside for insurance every month/year. Then, when you’re comparing insurance plans, you can choose one based on what you can afford and the protection you can get.
  3. Think about what kind of protection you need. This could be anything from medical, personal accident or life insurance.
  4. Choose a plan that gives you the most coverage based on what you can afford. You should make sure you get enough protection to cover your needs. Otherwise, you might have to use more of your own money to pay for your medical bills or other bills related to what you’re getting insurance for.
  5. Don’t forget to check for exclusions. Certain events are excluded from coverage. For example, if you’re worried about getting Covid-19 and losing your income, you’ll need to find an insurance plan that includes this coverage.

 

SOCSO’s Self-Employment Social Security Scheme

SOCSO’s Self-Employment Social Security Scheme (SESSS) provides protection to self-employed workers, including self-employed workers, who get sick with illnesses related to their work, or get injured or become disabled from accidents during work. SESSS is mandatory for all e-hailing, bus and taxi drivers, and self-employed workers in 19 other informal sectors. To get covered under SESSS, you need to make monthly or yearly contributions to SOCSO.

 

The amount you contribute to SOCSO is based on your monthly income, which is divided into these plans:

 

Plan Monthly Income (RM) Monthly Contribution Payment (RM) Yearly Contribution Payment (RM)
1 1,050 13.10 157.20
2 1,550 19.40 232.80
3 2,950 36.90 442.80
4 3,950 49.40 592.80

 

You can choose whichever plan you prefer to contribute to, but note that SOCSO contributions are capped at an insured maximum salary of RM4,000. If you make more than RM4,000 a month, you can still sign up for a SESSS plan, but your contributions and coverage will only be limited to Plan 4.

 

Who should get it?

 

Self-employed workers from these industries can be covered:

 

  • Taxi, e-hailing and bus drivers
  • Transport of goods and food
  • Online business
  • Agriculture
  • IT
  • Livestock
  • Data processing
  • Forestry
  • Agents
  • Fisheries
  • Professional services
  • Food
  • Support services
  • Manufacturing
  • The arts
  • Construction
  • Household services
  • Hawkers
  • Beauty & healthcare
  • Accommodation premises

 

What can you get?

 

Among the benefits you can get from SESSS include:

 

  • Medical benefits
  • Permanent disablement benefit
  • Temporary disablement benefit
  • Constant attendance allowance
  • Dependants’ benefit
  • Funeral benefit
  • Facilities for physical or vocational rehabilitation
  • Education benefit

 

But remember, you’ll only be eligible to claim SESSS benefits if you have an accident or occupational disease while working.

 

 

When to apply/contribute?

 

You can apply at any time.

 

Requirements:

  • Malaysian citizen or permanent resident
  • Self-employed individuals without a regular income

 

How to register:

  • You need these documents:
    • A photocopy of your MyKad
    • A copy of your Public Service Vehicle (PSV) card/driving licence/e-hailing profile/permit/certificate or letter of confirmation from the relevant association or agency.
  • Sign up at: perkeso.gov.my using the instructions here.

 

What do you need to do?

  • You can make contributions monthly or yearly. Coverage starts from the date you pay your contribution.

 

Cash payment Online payment
You can make cash payment at a SOCSO office.

 

 You can make an online payment via matrix.perkeso.gov.my using the instructions here.

 

 

Covid-19 assistance: SOCSO’s Penjana Gig programme

 

What is it?

This is an initiative introduced as part of efforts by the Malaysian government to protect the welfare of self-employed workers during the Covid-19 crisis. The plan gives protection for self-employed workers involved in accidents. It is available under SESSS contribution Plan 2.

 

How does it work?

Under this programme, the government and you/your platform provider contribute a total of RM232.80 under the SESSS contribution Plan 2. The government will pay 70% (RM163) of the total contribution. You or the platform provider you work with will pay the remaining 30% (RM69.80). It covers you for one year.

 

Who should get it?

 

Why should you get it?

  • The government will contribute RM163 to you for one year.
  • You get coverage of up to RM6,000.
  • You get SOCSO benefits:
    • Temporary Disablement Benefit
    • Permanent Disablement Benefit
    • Dependants’ Benefit for spouse/parents/siblings
    • Constant-Attendance Allowance (if you have severe disability and constantly need another person to look after you)
    • Funeral Benefit
    • Medical Benefit
    • Education Benefit
    • Facilities for Physical/Vocational Rehabilitation

 

When to apply/contribute:

  • Up to 31 December 2021

 

Requirements:

  • Malaysian citizen or permanent resident
  • Working under a gig economy provider platform registered with the Malaysia Digital Economy Corporation (MDEC)/government agency or other self-employed individuals working in Malaysia
  • Working full-time or part-time

 

How to register:

You need these documents:

  • A photocopy of your MyKad.
  • A copy of your driving licence/e-hailing profile/permit/certificate or letter of confirmation from the relevant association or agency.
  • Note: if you work in two different sectors and want to be covered under both, you must make two applications, one for each sector.

 

Registering at a SOCSO office Online registration
● Check if you can opt in for PenjanaGig through your platform provider e.g. Grab, FoodPanda

 

● Your platform provider will pass your information to SOCSO to help verify your identity.

 

● Visit a SOCSO office to sign up for PenjanaGig. Bring the necessary documents to verify your identity.

 ● Sign up at PenjanaGig

 

 

What you need to do:

You can pay either at a SOCSO office or online.

Payment at a SOCSO office Online payment
● Pay RM69.80 contribution in cash at SOCSO office

 

 ● Pay RM69.80 via online banking on https://matrix.perkeso.gov.my/ using this guideline
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