What Happens When a Foreign Worker Gets Sick or Injured?
Imagine this: You awake to a frantic call from one of your company’s greenhouses. A member of your team – a foreign worker – has collapsed in the greenhouse, and the floor supervisor is asking what they should do to get them the help they need.
You spring into action, but then the thought occurs to you: what about coverage? Will they – and our company – be protected?
Most employers assume their workers are "covered."
But the reality is that coverage for temporary foreign workers in Canada isn't a single safety net. Without a comprehensive healthcare option, most employers must navigate a patchwork of provincial health insurance, employer-paid private coverage, and workers' compensation.
Each option comes with its own rules, gaps, and timing. But when you know you have the best possible coverage, you don’t have to panic.
You can get your valuable team member the help they need, and your company can rest assured that you’re facing a manageable situation – not a financial disaster.
The Three Layers of Coverage
So what do you do when a foreign worker gets sick or injured? In Canada, coverage typically comes from three potential sources:
Provincial Health Insurance
Provincial health insurance covers hospital and physician care once the worker is eligible, just like any other resident.
But there’s an important catch with provincial plans: most provinces have a waiting period of two to three months before coverage begins. During that window, your worker has no provincial protection.
Private Health Insurance
For that time between hiring and when provincial plans kick in, you’ll need to provide private health insurance. This isn’t an option – offering this coverage is required under the Temporary Foreign Worker Program.
This means that employers must purchase and pay for emergency medical coverage from day one of arrival. Coverage covers ambulance services, emergency room visits, and hospitalization up to policy limits. You cannot deduct this cost from the worker's wages.
Workers' Compensation
Workers' compensation applies when the injury or illness is work-related. It’s important to note that foreign workers have the same rights to workers' comp as Canadian employees.
This covers medical bills, rehabilitation, and partial wage replacement if they can't work. But it only covers incidents that happen on the job or because of work conditions.
What Happens in an Emergency?
When a foreign worker needs medical care, they can choose to visit a clinic or hospital without first obtaining employer permission.
If they have valid provincial coverage or proper private insurance, they generally won't pay out of pocket at the time of service.
If the injury or illness is work-related, you are required to help the worker access care and file a workers' compensation claim. You cannot block them from filing or punish them for reporting an injury. Companies also can’t make employees continue working while hurt.
These protections are explicit under federal TFWP rules, and violations can result in penalties or being banned from the program entirely.
In most provinces, both you and the worker must report work injuries to the compensation board within a set timeframe – often 72 hours. Missing this window can complicate claims and create liability issues.
The Gaps That Catch Employers Off Guard
Here's where things get risky. Many employers don't realize their private coverage has significant limitations until someone actually needs their support.
Limits and Exclusions in Policies
Policy limits and exclusions are common in health coverage.
For instance, many "visitors to Canada" or basic TFW policies cap emergency benefits and may exclude pre-existing conditions, certain maternity care, or non-emergency services.
If your worker needs something outside those limits, the bills come back to you – or worse, to the worker who can't afford them.
Your Highest Risk Period Is Before Provincial Coverage Starts
The waiting period window is your highest-risk time, and it’s crucial that companies have procedures and policies in place to manage it.
If a worker is injured off the job during those first two to three months before provincial coverage starts, and your private policy is inadequate or wasn't properly activated, you're exposed.
Some employers have faced significant financial and legal consequences for gaps they didn't even know existed!
Assuming Workers’ Compensation is All-Inclusive
Assuming workers' comp covers everything is another trap. The reality is that this coverage only applies to work-related incidents.
A worker who gets sick with the flu or is injured in a car accident on the weekend? Unless it’s directly related to their working role, this isn’t workers' comp territory. It also means that if your private coverage isn't comprehensive, there's no safety net.
Smart Employers Take Action Before A Crisis Hits
The risks of non-coverage and non-compliance in foreign worker healthcare are massive. But the good news is that most risks are preventable.
The employers who avoid these situations share a few habits:
They don't rely on verbal assurances that coverage is "in place."
They get written confirmation that private insurance is active from day one and that it aligns with their province's waiting period.
They review what's actually covered – not just that a policy exists.
They also understand that comprehensive coverage isn't just a compliance checkbox. It's a strategic investment in worker retention, workplace morale, and their own protection from liability.
Your Foreign Worker Coverage Checklist
Before your next worker arrives – or right now if you have workers on site – confirm you can answer "yes" to each of these:
Private insurance is active from day one of arrival, not from the first day of work or after paperwork is processed
Coverage aligns with your province's waiting period (typically 2-3 months) with no gaps in protection
You have written confirmation of policy details, not just verbal assurance from a broker or provider
You understand what's excluded—pre-existing conditions, non-emergency care, dental, vision, and prescription limits
Policy limits are adequate for a serious hospitalization (basic policies often cap out quickly)
Workers' compensation is in place, and you know the reporting timeline for your province
Workers know how to access care—where to go, who to call, and that they don't need your permission in an emergency
You're not deducting insurance costs from worker wages (this violates TFWP rules)
Coverage continues through the entire contract, not just the waiting period
Don't Wait for an Emergency to Find the Gaps
You can’t afford to risk the health and wellness of your workers. You also can’t afford to risk the financial and legal stability of your company.
At People Corporation, we specialize in comprehensive coverage designed specifically for temporary foreign workers.
Our plans cover your workers from day one through the end of their contract, including life insurance, income replacement, and supplementary health benefits that go beyond basic emergency coverage.
If you're not 100% certain what happens when one of your workers gets sick or injured, it's time to find out – before you're dealing with a crisis.
Contact us today to review your current coverage and identify any gaps. Our ambassadors will help you understand exactly what protection you have and what you might be missing.
Looking to provide your foreign workers with the necessary healthcare coverage?
Click through the video below to learn about the FWCHP.
