Important Updates to Coronavirus Allowance Payments for Injury and Sickness. May 2023

On May 8, as reported by the MHLW (Ministry of Health, Labor and Welfare) Japan terminated the temporary coronavirus injury and sickness allowance, which did not require the doctor’s proof in the opinion column of the person in charge of the injury and sickness allowance payment application form, and the application period (the period of absence for medical treatment). A doctor’s certificate is required for the application for the payment of injury and sickness allowance after May 8, 2020.

This is the related Q&A produced by the National Health Insurance Association (NHIA.) The materials are in Japanese, so we provide an annotated version in English, below. For complete details, always check the original, Japanese, source documentation provided by the authorities.

Q1. If an insured person is infected with a new type of coronavirus infection and is unable to engage in labor for medical treatment, will the sickness allowance be paid?

A. If an insured person is infected with a new type of coronavirus infection due to a reason other than a work-related accident, as in the case of an insured person suffering from other illnesses, the amount of the sickness allowance shall be calculated based on the average monthly standard remuneration for the last 12 months during the period when the person is unable to engage in labor due to medical treatment from the day after three days from the day when the person becomes unable to engage in labor due to medical treatment. (*) The amount equivalent to two-thirds of the amount equal to one-thirtieth of the average of the monthly standard remuneration for the most recent 12 months from the day on which three days have elapsed since the day on which the insured person became unable to engage in labor service for medical treatment. (*) For a person who has been insured for less than 12 months, an amount equivalent to one-third of the average of the standard monthly remuneration during the insured person’s insured period shall be paid as an injury and sickness allowance.

(*) For those who have been insured for less than 12 months, the lower of 1) the average amount of the standard monthly remuneration during the insured period or 2) the average amount of the standard monthly remuneration of the insurer to which the insured person belongs, shall be the basis of calculation.

Q2 If an insured person has no subjective symptoms but is determined to be “new-type coronavirus positive” as a result of a test and is unable to engage in labor for medical treatment, is the sickness allowance paid?

A. Yes, it is possible to receive the sickness allowance.

Q3 If an insured person has subjective symptoms, such as fever, and is under medical treatment at home, and is unable to engage in labor because of the medical treatment, is the injury and illness allowance paid?

A. Yes, it is possible to receive the sickness allowance.

Q4 Does the period during which an insured person is under home remedy for subjective symptoms such as fever fall under the period during which he/she is unable to engage in labor service?

A. If a doctor, based on the results of a medical examination and based on the insured person’s pre-existing condition, finds that the insured person was incapable of working before the initial medical examination and states this in a written opinion, the period before the initial medical examination can also be considered as the period of incapacity for work.

Q5: If an insured person has subjective symptoms such as fever, etc. or If an insured person who has been recuperating at home due to subjective symptoms such as fever visits a medical institution on the fourth day of absence from work and is judged to be unable to work because he/she is suffering from another illness instead of new-type coronavirus infection, will the sickness allowance be paid?

A. Yes, it is possible to receive the sickness allowance.

Q6 Can an injury and illness allowance be paid for a period when the entire workplace is closed due to an outbreak of a new type of coronavirus infection in the workplace, etc., and no labor is being performed?

A. No. The sickness allowance is paid when an insured person is unable to engage in labor due to medical treatment for illness or injury caused by reasons other than work-related accidents.

In the case of absence from work due to reasons attributable to the employer, such as when an employer takes a measure to have a worker take a leave of absence based on its own judgment and not based on the law, the employer is required to pay an absence allowance (60/100 or more of the average wage) for the period of absence from work, in accordance with the Labor Standards Law.

Q7: If a worker takes leave because he or she has no subjective symptoms but a family member is infected and becomes a close contact, will the sickness allowance be paid?

A. No. Sickness and injury benefits are paid when an insured person is unable to work due to medical treatment for illness or injury caused by reasons other than work-related disasters, unless the insured person himself/herself is deemed unable to work.

Q8 If an insured person is unable to engage in labor for medical treatment for post-illness symptoms (so-called aftereffects) of new-type coronavirus infection contracted due to reasons other than a work-related injury, is the sickness allowance paid?

A. Yes, it is possible to receive an injury and illness allowance.

Q9. In cases where an insured person is not examined, but a family member living with the insured person becomes symptomatic as a close contact, and the insured person is diagnosed by a physician as being infected with a new type of coronavirus infection, and the insured person is unable to work, will the sickness allowance be paid?

A. Yes, he/she may be eligible for the sickness allowance.

Verse Corporation publishes articles on timely issues in Japanese Social Welfare and Labour Law. Japanese payroll, source deductions, and all labor law work & pay rules regarding compensation, social insurance, absenteeism & sick leave, etc. require strict adherence. Labor/employment law can be complex, even for Japanese companies, and must be handled mostly in Japanese. As with all social welfare and labor law matters in Japan, please seek out professional Sharoushi (Certified Labour Law and Social Insurance Attorney.)

Japan terminated the temporary coronavirus injury and sickness allowance, thus increasing the burden on people to show proof of infection, and therefore also the burden on companies looking for related finical relief.

Related public information is provided by the National Health Insurance Association of Japan.  These materials are all in Japanese.

https://www.kyoukaikenpo.or.jp/event/cat550/covid_19/shinsei/