The turn of the year brings changes to municipal insurance in Finland
From the beginning of 2025, the organisation of TE services and integration services will be transferred from the state employment and economic development offices to the municipalities. At the same time, the related insurance obligation will also be transferred to the municipalities.
With the TE Services 2024 reform, the organisation of TE services will be transferred from the Employment and Economic Development Offices to the municipalities. The aim is to speed up the employment of workers and improve the availability and effectiveness of services.
The overall reform of the Integration Act will also transfer the main responsibility for integration to municipalities. The aim is to strengthen public finances and increase the responsibility of immigrants for their own integration.
With these reforms, municipalities are also obliged to ensure that persons participating in coaching, work trials or services under the integration programme are insured under the Act on Accidents at Work and Occupational Diseases and Group Liability Insurance (Insurance Cover for Coaching and Trials, Section 60; Act on the Promotion of Integration, Section 97).
Participants are treated as employees of companies
Insurance against accidents at work and occupational diseases is taken out either as a separate group of insured persons or as a separate insurance contract with the body responsible for the organisation or with the local authority.
It is important to note that, from an insurance point of view, clients of TE services are treated in the same way as employees of enterprises. The employment authority must ensure that the personal customer participating in the training and pilot scheme is insured under group liability insurance. The organiser of the training or pilot scheme shall ensure that the insurance cover is in place.
It pays to be prepared in good time
Successful implementation of the reform will require new approaches and strong skills from municipalities, both in terms of employment services and insurance solutions. Careful insurance planning and risk management can ease the transition and ensure business continuity.
If you need further information or assistance in planning your insurance cover, our public sector team will be happy to provide support and advice. Contact us to make sure that all the necessary insurance policies are up to date.
