Hiring employees in Norway comes with important legal responsibilities. Employers must comply with strict labor law regulations—and failure to do so can result in significant penalties. One key requirement, regardless of industry or job type, is securing Occupational Injury Insurance (Yrkesskadeforsikring) for all employees.
This mandatory insurance ensures that workers are compensated for injuries or illnesses sustained on the job—without the need to prove employer fault. In this blog, we’ll break down what Occupational Injury Insurance covers, employers' responsibility, and the consequences of non-compliance.
What does Occupational Injury Insurance cover?
Occupational injury insurance in Norway encompasses a range of incidents, including:
- Occupational Accidents: Injuries resulting from accidents that occur in the course of employment.
- Occupational Diseases: Illnesses recognized under the National Insurance Act as being work-related.
- Exposure to Harmful Substances or Processes: Health issues arising from contact with hazardous materials or detrimental work processes.
The insurance provides compensation for lost income due to reduced work ability, covers medical expenses, and offers financial support to dependents if an employee's death. Every employee, irrespective of their employment percentage, must be under this insurance.
Employer responsibilities
All employers in Norway, regardless of the size of their enterprise, are legally obligated to:
- Procure Insurance: Obtain occupational injury insurance from a private insurer for all employees.
- Report Incidents: Promptly notify the Norwegian Labour Inspection Authority and the police in cases of serious workplace accidents. Additionally, any occupational injuries or illnesses must be reported to NAV, the Norwegian Labour and Welfare Administration.
Also read: What are the legal responsibilities of an employer in Norway?
Considerations for employees with A1 certificates
An important consideration arises when dealing with employees who have an A1 certificate. An A1 certificate is an official EU document that verifies an employee stay covered under their home country's social security system while temporarily working in another EEA country. This certification is typically used for employees on temporary assignments abroad, ensuring they continue to contribute to and benefit from their home country's social security scheme.
For employers in Norway, this means that if an employee holds a valid A1 certificate from another EEA country, they are not subject to Norwegian social security regulations, including occupational injury insurance. Consequently, Norwegian insurers may be unable to provide coverage for these employees, as they fall under the jurisdiction of their home country's social security system. Employers must be diligent in identifying such cases and should coordinate with the employee's home country to ensure appropriate coverage is kept during their assignment in Norway.
Also read: A1 form—National insurance when working abroad
Consequences for employers who fail to meet Occupational Injury Insurance obligations
Failure to follow these insurance obligations can lead to significant consequences, including:
- Financial liability: Employers may be held responsible for compensation claims arising from work-related injuries or illnesses.
- Legal penalties: Non-compliance can result in fines and other legal sanctions.
It's important to note that while the insurance covers incidents occurring at the workplace during working hours and diseases that are officially acknowledged as occupational illnesses, recent legal interpretations have clarified that injuries sustained during breaks at a home office may not be covered. This distinction underscores the evolving nature of workplace arrangements and the importance of understanding the specific terms of coverage. However, employers have the choice to buy additional insurance that encompasses non-work-related incidents. Even though it's not a legal requirement, many firms opt for this expanded coverage.
Need help securing occupational injury insurance for your employees?
Ensuring compliance with Norway's occupational injury insurance requirements is not only a legal obligation but also a fundamental aspect of fostering a safe and supportive work environment. Both Norwegian and foreign employers operating in Norway must prioritize securing appropriate insurance coverage and staying informed about their responsibilities to protect their workforce effectively.
If you need help sorting and securing occupational injury insurance for your employees, let us know. We'll help you navigate the system and your obligations.