Malaysian contributors can cancel 24-hour accident insurance online from Monday

Contributors to the 24-hour accident insurance scheme, known as Lindung 24 Jam, can now opt out of the coverage by completing an online liability release form starting this Monday. This process confirms that they no longer wish to receive protection for accidents occurring outside of their working hours.

The liability release form will serve as the legal basis for any future disputes, particularly concerning claims related to accidents, injuries, or deaths that happen outside of work. Datuk Seri Dr. Mohammed Azman Aziz Mohammed, Group CEO of the Social Security Organization (Perkeso), announced that the form will be available on the Perkeso website starting Monday.

"If an accident, injury, or death occurs outside working hours, the employer or Perkeso will not be responsible for providing coverage and payment because the employee themselves has chosen to discontinue contributions," Mohammed Azman explained during a press conference. He added that employees can fill out the form online but must inform their human resources department or employer, as contributions are made by the employer.

The cancellation will be effective after the release form is received. Employees who opt out this month will not need to continue contributions for July. Contributions already paid will not be refunded, as coverage under Lindung 24 Jam began on June 1. Employees can rejoin the scheme at any time, while contributions for foreign workers remain mandatory. The government decided on July 8 that the Lindung 24 Jam contributions would be voluntary for local workers, effective immediately. As of July 9, approximately 2.27 million workers, including 1.92 million locals and 307,000 foreign workers, were registered under the scheme, with accumulated contributions totaling RM58 million and 1,056 claims recorded.

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If an accident, injury, or death occurs outside working hours, the employer or Perkeso will not be responsible for providing coverage and payment because the employee themselves has chosen to discontinue contributions.