38,000 rejected claims expose gap in workers' safety net
KUALA LUMPUR: Over the past decade, more than 38,000 workers injured in accidents suffered a second blow when the Social Security Organisation (Perkeso) rejected their claims, classifying the incidents as non-employment related.
Between 2015 and 2025, more than 38,000 Malaysian workers injured in accidents outside their working hours saw their claims rejected by the Social Security Organisation (Perkeso), the Deputy Human Resources Minister said. The rejected claims exposed a significant gap in social protection for workers without private insurance or takaful coverage.
In 2023 alone, 12,306 claims were rejected for the same reason. The minister stressed the need for a broader safety net to protect workers beyond working hours. The issue is particularly pressing for B40 and some M40 workers, many of whom cannot afford private insurance or takaful premiums after covering basic household expenses.
Perkeso introduced the Lindung 24 Jam scheme on June 1 to close this gap. Workers pay just 0.75% of their monthly wages towards the scheme, which provides income replacement and dependents' benefits for serious injuries or disabilities from accidents outside working hours. The scheme has already processed over 2,700 claims since its launch, approving more than 90% and disbursing RM4.69 million in benefits in July alone.
The largest share of benefits went towards rehabilitation equipment, temporary disablement benefits, and long-term support for dependants. While the scheme is not a substitute for private insurance, it complements it by providing a safety net for income replacement and long-term support in cases of permanent disability or death.
Written by urgent.news from New Straits Times's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
