Labor Occupational accident insurance and labor (employment) insurance are subject to a declaration system. The insured unit shall verify and declare the insured salary according to the total monthly salary of the specific employee, and verify the adjustment before the statutory declaration adjustment period (expiring at the end of February and the end of August each year). The adjustment will take effect on the 1st of the month following the declaration.
In addition, according to Paragraph 1 of Article 28 of the Labor Occupational Accident Insurance and Protection Act, for insurance benefits issued in cash, the amount shall be calculated based on the average monthly insured salary of the insured person and the payment standards. For insurance benefits the amount shall be calculated based on the average monthly insured salary of the insured person and the payment standards. If the insured unit fails to verify and declare the employee’s insured salary for the labor occupational accident insurance, which results in the loss of the worker’s insurance benefits, the insured unit shall be liable for damages in accordance with the Civil Code.