M’sia Passes Law For 24-Hour Accident Coverage Even Outside Work. Here’s How It Affects You

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The Dewan Rakyat yesterday, 2 December, passed a law introducing Lindung 24/7, officially known as the Non-Employment Injury Scheme

The new law fundamentally transforms the Social Security Organisation (PERKESO) from a workplace-focused insurance system into one offering round-the-clock accident coverage.

The Employees' Social Security (Amendment) Bill 2025 extends protection to accidents that happen outside work hours, including injuries at home, during leisure activities, or while commuting for personal reasons.

This means you will have round-the-clock accident coverage, even outside of work

Previously, PERKESO only covered accidents that occurred during working hours or while commuting to work. The bill amends Section 2 to include "Non-Employment Injury", meaning personal injuries unrelated to your job will now be covered.

Human Resources Minister Steven Sim Chee Keong highlighted that between 2023 and October last year, 12,306 claims were rejected because the accidents occurred outside "office hours".

Now, injuries such as slipping in the bathroom during the weekend, breaking a leg while playing football on a weekday evening, or crashing a car on the way to a dinner date would all be eligible for claims.

What it costs

Coverage under the newly amended law is mandatory for all eligible employees.

The bill amends Section 6 to create a "Second Category" of contributions, under which employees pay for the new "Non-Employment" coverage.

Employers continue to pay only for the existing work-related coverage.

• Minimum wage (~RM1,700): extra RM13.15 per month
• Mid-range salary (~RM3,000): extra RM22.15 per month
• High salary (~RM6,000, new cap): extra RM44.65 per month

The bill introduces a phased approach. Phase 1 starts with lower contribution rates and payouts, which will increase in Phases 2 and 3. The Human Resources Ministry will determine when to move to the next phase.

As such, benefits, too, will be rolled out in three phases

• Temporary disablement (medical leave): Phase 1 covers 48% of an employee's daily wage, rising to 64% in Phase 2, and 80% in Phase 3.
• Permanent total disablement: Phase 1 covers 54%, rising to 72% in Phase 2, and 90% in Phase 3.

However, not all accidents are covered

Claims are not valid if:

• The injury occurs outside Malaysia
• The injury results from illegal acts
• Foreign workers violate permit or visa conditions
• The injury falls under other social security schemes, like the Self-Employment or Housewives' Social Security Acts

How it works when you have multiple jobs

Employees with more than one job won't have to pay twice for the new coverage.

If you work both a 9-to-5 and a part-time evening shift, you pay the non-employment contribution only once, choosing which employer will handle the deduction.

The scheme also prevents "double-dipping".

If you become permanently disabled, you can't claim both the permanent disablement benefit under Lindung 24/7 and an invalidity pension for the same period. You'll need to take whichever pays more.

And while the coverage is broad, it's strictly for accidents.

Injuries that are self-inflicted or intentional are excluded, keeping the scheme focused on genuine, unforeseen mishaps.

The bill will now move to the Dewan Negara and then to the King for Royal Assent

Set to launch in 2026, the scheme is expected to benefit nearly 10 million formal-sector workers nationwide.