Skip to content
In forceAmended2020 Revised Edition

Part 3 · Work Injury Compensation Insurance

29. Application of section 28 where insurance contract void or voidable

Feedback & support
Amended

Last amended by an amending law of 2022.

(1)

Subsections (2), (3), (4) and (5) apply where the contract mentioned in section 28(1) is void or voidable by reason of the employer’s non‑compliance with any terms or conditions of the contract, other than a requirement to pay premiums.

(2)

Section 28(1) applies as if the contract mentioned in that provision were not void or voidable only if the employee gives notice to the insurer of the matters mentioned in paragraph (a) as soon as practicable after the employee becomes aware of all of the following:

(a)

the employee’s work injury or incapacity arising from an accident; (b)that the employer is insured by that insurer;

(c)

that any of the events mentioned in section 28(1)(a) or (b) has occurred.

(3)

Where, despite the contract mentioned in section 28(1) being void or voidable, the insurer pays any amount to the employee in respect of the employer’s liability to pay compensation under this Act, the insurer is entitled to —

(a)

prove for the relevant amount in the employer’s bankruptcy or liquidation; or (b)recover the relevant amount from the receiver or manager of the employer’s business or undertaking.

(4)

The relevant amount mentioned in subsection (3) is the amount paid, excluding (where the contract is void or voidable only in part) the amount that the insurer is still liable to pay under any part of the contract that is not void or voidable.

(5)

The relevant amount mentioned in subsection (3) is to be paid to the insurer in priority as if it were an amount due in respect of work injury compensation under this Act in accordance with the provision mentioned in paragraph (a), (b) or (c), if the employer’s liability to pay the compensation accrued before the date specified in that paragraph: (a)section 352 of the Insolvency, Restructuring and Dissolution Act 2018 — the date of the bankruptcy order;

(b)

section 203 of the Insolvency, Restructuring and Dissolution Act 2018 —

(i)

the date of the commencement of the winding up of the company; or

(ii)

where the company is ordered to be wound up compulsorily and had not previously commenced to be wound up voluntarily — the date of the winding up order;

(ba)

the repealed section 328 of the Companies Act 1967 (as applied by section 130 of the VCC Act as in force before the operative date) —

(i)

the date of the commencement of the winding up of the VCC; or

(ii)

where the VCC is ordered to be wound up compulsorily and had not previously commenced to be wound up voluntarily — the date of the winding up order;

(bb)

section 203 of the Insolvency, Restructuring and Dissolution Act 2018 (as applied by section 130 of the VCC Act as in force on the operative date) —

(i)

the date of the commencement of the winding up of the VCC; or

(ii)

where the VCC is ordered to be wound up compulsorily and had not previously commenced to be wound up voluntarily — the date of the winding up order;

(bc)

the repealed section 328 of the Companies Act 1967 (as applied by section 33(2) of the VCC Act read with the First Schedule to the VCC Act as in force before the operative date) —

(i)

the date of the commencement of the winding up of the sub-fund; or

(ii)

where the sub-fund is ordered to be wound up compulsorily and had not previously commenced to be wound up voluntarily — the date of the winding up order;

(bd)

section 203 of the Insolvency, Restructuring and Dissolution Act 2018 (as applied by section 33(2) of the VCC Act read with the First Schedule to the VCC Act as in force on the operative date) —

(i)

the date of the commencement of the winding up of the sub-fund; or

(ii)

where the sub-fund is ordered to be wound up compulsorily and had not previously commenced to be wound up voluntarily — the date of the winding up order;

(c)

section 86 of the Insolvency, Restructuring and Dissolution Act 2018 — the date of the appointment of the receiver or manager or the date of possession being taken as mentioned in that section, as the case may be;

(d)

section 127 of the VCC Act as in force before the operative date — the date of the appointment of the receiver or the date of possession being taken as mentioned in that section, as the case may be;

(e)

section 127 of the VCC Act as in force on the operative date — the date of the appointment of the receiver or manager or the date of possession being taken as mentioned in that section, as the case may be.

(6)

In this section, “operative date” means the date of commencement of sections 29, 45, 48 and 62 of the Variable Capital Companies (Miscellaneous Amendments) Act 2019.

Report

Part 3A

Application of Parts 2 and 3 to Platform Operators and Platform Workers

Part 4

Compensation Process

Part 5

Application of Act to Seafarers

Part 6

Powers for Execution of Act

Part 7

General Provisions on Offences

Part 8

Miscellaneous

Schedules